Posts tagged Markus Bjoerkheim

    Research ● Labor

    New Study: From Gig to Gone? ABC Tests and the Case of the Missing Workers

    January 10, 2025 // The introduction of an ABC test caused significant declines in traditional (W-2) employment, self-employment, and overall employment. The ABC test reduced traditional (W-2) employment by 4.73% Self-employment fell by 6.43% Overall employment fell by 4.79% Occupations with high shares of independent contractors experienced the largest reductions in employment. These results suggest that contrary to the intended goal, ABC tests are not altering the composition of workers and leading to more workers becoming traditional W-2 employees, but they are reducing employment for both W-2 employees and self-employed workers.

    AB 5 ABC test Bureau of Labor Statistics California Census Bureau freelancing gig work Hawaii Illinois Independent Contractor Labor Market Maine Markus Bjoerkheim Massachusetts Mercatus Center Nevada New Hampshire New Jersey New Mexico self-employment W-2 employment worker classification