Labor & Employment Law Daily California’s controversial A.B. 5 gets a new resource website
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Monday, December 23, 2019

California’s controversial A.B. 5 gets a new resource website

By WK Editorial Staff

The portal includes information on the “ABC test” as well as FAQs about the “Employment Status Law” and other resources to assist workers and businesses seeking additional information about misclassification.

California Labor and Workforce Development Agency has launched a new resource website to provide resources and information to workers and employers on A.B. 5, otherwise known as the “Employment Status Law,” which is set to take effect January 1, 2020.

The new law, signed by Governor Gavin Newsom in September, addresses employment status when a worker is claimed to be an independent contractor. A.B. 5 generally requires the application of the “ABC test” to determine if workers in California are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the Industrial Welfare Commission (IWC) wage orders. A.B. 5 provides exceptions to the ABC test for specified instances where certain requirements are met.

One-stop shop. The website, Labor.ca.gov/EmploymentStatus, is a one-stop shop for online resources for workers and employers, and the Labor Agency and its departments, including the Employment Development Department, Labor Commissioner’s Office, Cal/OSHA, and Division of Workers’ Compensation, are coordinating the information and services about this new law and its enforcement.

The portal includes information on the ABC test as well as Frequently Asked Questions (FAQ) about AB 5 and other resources to assist workers and businesses seeking additional information about misclassification, employee protections, and employer obligations.

The website also features information on labor laws and employee rights, including links on how to file a wage claim or retaliation complaint, report a health and safety violation, or apply for workers’ compensation, unemployment or disability benefits. Employers that visit the portal will be able to find information to assist them in determining the employment status of their workers and understanding their legal obligations as employers, including information on workplace health and safety laws, wage and hour laws, workers’ compensation obligations, and payroll tax requirements.

“Misclassification, or labeling a worker as an independent contractor when they should be an employee, undermines businesses who play by the rules and basic worker protections like minimum wage, paid sick days, and the safety of workplaces,” said California Labor and Workforce Development Agency Secretary Julie Su. “This website is meant to be a resource for California’s workers and employers to ensure a smooth implementation of the law.”

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