Lorena Gonzalez AB 2257

GOVERNOR SIGNS BILL TO EXEMPT MANY INDEPENDENT WORKERS FROM AB 5

Update September 5, 2020 : Governor Gavin Newsom has signed this bill into law. It takes effect immediately as an emergency measure.
 
By Miriam Raftery
 
September 3, 2020 (Sacramento) – A bill to exempt many occupations from AB 5, California’s controversial new employment law, and allow those exempted to work as independent contractors instead of employees, has passed the Legislature overwhelmingly. Governor Gavin Newsom is expected to sign the measure, AB 2257, into law. If signed, it would take effect immediately as an urgency measure. View full text of AB 2257.
 
The trouble began in 2018 when the state Supreme Court’s decision in the Dynamex case imposed a strict new test of employment status in California’s burgeoning gig economy.  AB 5, authored by Lorena Gonzalez (D-San Diego), sought to codify the court ruling but went farther, requiring that a broad range of freelancers and independent contractors be treated as employees eligible for benefits ranging from unemployment to medical care.
 
AB 5 triggered a backlash of criticism from many freelancers whose income and flexibility were severely impacted, including musicians, writers, translators and many others walloped first by AB 5, and then by the COVID-19 pandemic and shutdown.