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Misclassification ABC Test Today's Popular Updates

Troutman Pepper Locke

Newest State Independent Contractor Pay Protection Law Creates Uncertainties: October 2024 ‎IC Legal News Update

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The most significant legal development in the past month in the area of independent contractor compliance was the enactment of California’s Freelance Worker Protection Act, which goes into effect on January 1, 2025. We have...more

DarrowEverett LLP

The Show Must Go On: Entertainer-Employee Classification Takes Center Stage for Venues

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It’s spring 2023, live entertainment is back, and perhaps so is the Internal Revenue Service (“IRS”). The Inflation Reduction Act, signed into law on August 16, 2022, authorizes $80 billion in funding for the IRS over the...more

Davis Wright Tremaine LLP

3rd Circuit Rules ABC Test Determines Employee or Independent Contractor for NJ Wage & Hour Claims

Employers who retain independent contractors in New Jersey may face greater exposure for wage and hour claims following a recent ruling in the 3rd Circuit Court of Appeal....more

Ervin Cohen & Jessup LLP

Ninth Circuit Holds that the Dynamex ABC Test Applies Retroactively, But Not Prop. 22

On September 20, 2021, the Court of Appeals for the Ninth Circuit reversed Grubhub, Inc.’s lower court victory in a class action case involving the alleged misclassification of a former driver. The driver claimed he was...more

Troutman Pepper Locke

Ride-Sharing Industry Prevails, While Trucking Industry has More Legal Work to do: April 2021 News Update

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April 2021 was a meaningful month for two industries that are hardly strangers to lawsuits involving the status of workers as independent contractors. A federal district court in the District of Columbia issued an extremely...more

Troutman Pepper Locke

Not So Fast: January 2021 Independent Contractor Law Update

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January 2021 may well be remembered in the independent contractor area of law as the “not so fast” month. The Fifth Circuit Court of Appeals told lower courts “not so fast” when it comes to certifying collective actions. ...more

Troutman Pepper Locke

AB2257: Not Much Better Than AB5 for Most Industries in California Using Independent Contractors

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Many independent contractors complained of dire consequences after Assembly Bill 5 (AB5) became effective in California on January 1, 2020. Following intense lobbying and public relations campaigns, independent contractors in...more

Littler

AB 5: The Aftermath of California’s Experiment to Eliminate Independent Contractors Offers a Cautionary Tale for Other States

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Since its enactment last fall, California’s AB 5—legislation adopting the so-called “ABC test” for purposes of determining whether a worker is an independent contractor or statutory employee—has dominated not only the legal...more

Ballard Spahr LLP

NJ DOL Bills Uber $650M for Misclassified Drivers

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The New Jersey Department of Labor (NJ DOL) billed Uber Technologies, Inc. and a subsidiary $650 million for past-due taxes, interest, and penalties due to an alleged misclassification of its drivers as independent...more

FordHarrison

New Jersey Bill Creating Presumption of Employment for Independent Contractors Could Decimate the State's Gig Economy

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Recently, New Jersey took several steps to severely restrict the use of independent contractors or gig workers in the Garden state. The latest effort is Bill S4204, which creates a presumption of employment status for...more

Hogan Lovells

Out of the Frying Pan: California’s New Contractor Law Answers Some Questions, Creates Many More

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On September 18, 2019, California Governor Gavin Newsom signed into law a bill that attempts to settle some of the ambiguity that remained surrounding the California Supreme Court’s decision in Dynamex and its “ABC Test.”...more

Littler

California AB 5’s Author and the Governor Attempt to Clarify Law’s Scope

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On September 18, 2019, California Governor Gavin Newsom signed Assembly Bill 5 (AB 5), a bill that will dramatically alter whether, and under what circumstances, businesses may classify workers as independent contractors...more

Coblentz Patch Duffy & Bass

California Assembly Bill Five Excepts Certain Categories Of Workers From Independent Contractor Classification Overhaul

Last week, the California Legislature passed Assembly Bill (AB) 5, a new law related to an issue that is critically important to California employers and service providers—whether a worker is classified as an employee or an...more

Skadden, Arps, Slate, Meagher & Flom LLP

California Passes Landmark Bill Restricting Classification of Contract Workers

As of September 11, 2019, the California Senate and Assembly had both passed an employment bill (AB5) that, if signed by Gov. Gavin Newsom, would codify the recent extension of employment protections to workers previously...more

Troutman Pepper Locke

How to Operate in California with Independent Contractors After AB5 Bill Is Signed Into Law

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The latest version of Assembly Bill 5, which codifies the California Supreme Court’s Dynamex decision that was issued in April 2018, is about to become law. Dynamex created a so-called ABC test requiring companies to satisfy...more

Troutman Pepper Locke

June 2019 Independent Contractor Misclassification and Compliance News Update

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This past month was relatively uneventful in the area of independent contractor misclassification and compliance news, if one regards a $16.5 million settlement as unremarkable. But the amount of the settlements in IC...more

Troutman Pepper Locke

Insurance Agent for Northwestern Mutual Found to be Independent Contractor, Not Employee

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In a very favorable ruling for insurance companies, a federal district court on May 6 held that Northwestern Mutual Life Insurance Company had not misclassified as an independent contractor (IC) a life insurance agent who...more

Fisher Phillips

What Will A Governor Newsom Mean for California Employers?

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While much of the attention this midterm election has been focused on Congress and federal issues - the “blue wave” and a “referendum” on the Trump presidency - California employers know all too well that employment and labor...more

Buchalter

Healthcare Client Alert: California Supreme Court's Dynamex Decision Alters Independent Contractor Landscape

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On April 30, 2018, the California Supreme Court issued a landmark decision in Dynamex Operations West v. Superior Court, No. S222732, in which the Court chose to essentially scrap the nearly 30-year old test for determining...more

Best Best & Krieger LLP

The Dynamex Fallout: Independent Contractor Classifications Endangered - California Employers Should Heed Recent State Supreme...

In a unanimous ruling, the California Supreme Court in Dynamex Operations West v. Superior Court rejected the decades-old Borello test for determining whether workers should be classified as employees or independent...more

Troutman Pepper Locke

Questions Left Open by Dymamex, And What Companies Can Do To Enhance Their IC Compliance

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When the California Supreme Court issued its groundbreaking decision in the Dynamex case on April 30, announcing a new test to be used in determining independent contractor status under certain California laws, it left open a...more

Ballard Spahr LLP

New Jersey Passes Laws on Sick Leave and Pay Equity; Will Tackle Worker Misclassification

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A little more than 100 days into his tenure, New Jersey Governor Phil Murphy has made it clear that employment is one of his top priorities. In the past two weeks, Gov. Murphy has signed a Paid Sick Leave and an Equal Pay...more

Orrick - Employment Law and Litigation

Easy—Or Challenging—as ABC? California Supreme Court Rewrites Independent Contractor Test for Wage Order Claims

On April 30, 2018, the California Supreme Court issued its long-awaited decision in Dynamex Operations West, Inc. v. Superior Court of Los Angeles. ...more

Troutman Pepper Locke

March 2017 Independent Contractor Misclassification and Compliance News Update

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The past month included significant state and federal appellate court decisions, large settlements of IC misclassification class actions, class and collective action certifications, and two IC misclassification class actions...more

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