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Resources for Independent Contractors

Resources for Independent Contractors

My employer says I am an independent contractor, is that true?

The law is now a little more complicated after Dynamex Operations West, Inc. v. Superior Court of Los Angeles (2018) 4 Cal.5th 903 (Dynamex) and the passage of AB 5, in 2019 which made that case more expansive and then carved out various occupations. There are now three parts which all must be met for an employer to prove that a person is an independent contractor. (Unless you are worker affected by the passage of Prop 22, that became effective 1/1/2021- more below).

(A) The person is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact.
(B) The person performs work that is outside the usual course of the hiring entity’s business.
(C) The person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed.

The text of the law tells you if your profession has an exception to the above three items that must be met to be an independent contractor.

AB-5 Worker status: employees and independent contractors

We encourage you to review as there are many that were carved out.

Others are now predetermined to be independent contractors after the passage of Proposition 22. This was the ballot initiative paid for by Uber, Lyft, Instacart and other big tech delivery/driver systems. California has now spoken and see if you are one of those that will no longer be called a worker but rather an independent contractor.

Proposition 22 (PDF)