California Amends Freelancer Regulation, However Nonetheless Pursues Gig-Employee Corporations and Meals-Supply Providers

“California is exempting about two-dozen extra professions from a landmark labor legislation designed to deal with extra folks like workers as an alternative of contractors, beneath a invoice that Gov. Gavin Newsom signed on Friday,” experiences the San Diego Union-Tribune:

The amendments, which take impact instantly, finish what lawmakers stated have been unworkable limits on companies offered by freelance writers and nonetheless photographers, photojournalists, and freelance editors and newspaper cartoonists. It contains safeguards to ensure they aren’t changing present workers. The brand new measure additionally exempts numerous artists and musicians, together with some concerned within the insurance coverage and actual property industries.

Vox Media had already cited the sooner model of California’s AB-5 legislation as the rationale it fired tons of of freelance writers in December.

However the state’s struggle towards gig-worker firms continues to be ongoing, experiences CNN Wire:
In keeping with William B. Gould IV, a legislation professor at Stanford College, it “actually makes a variety of sense for the Lawyer Common to place a variety of their marbles within the Uber basket. You are coping with an organization that has thumbed its nostril on the rule of legislation for a while now and thinks there isn’t any restriction that they can not evade,” added Gould IV, a former chairman of the Nationwide Labor Relations Board. Jenny Montoya Tansey, coverage director on the Public Rights Mission, a public curiosity authorized nonprofit that has been concerned with enforcement efforts in California, stated one other issue is that “drivers have organized in numbers and are doing a extremely compelling job in getting their tales out, letting regulators, enforcers and coverage makers perceive among the experiences that drivers undergo.”

And Tansey provides that the legislation’s enforcers are additionally eyeing meals supply companies:
Previous to AB-5, San Diego Metropolis Lawyer Mara Elliott filed a swimsuit towards Instacart, the on-demand grocery supply startup valued at $14 billion, over employee classification; the case is on-going. Extra lately, in June, San Francisco District Lawyer Chesa Boudin filed a swimsuit towards DoorDash, the meals supply startup valued at $16 billion. “Meals supply is in demand now greater than ever. Multi-billion greenback companies that ship meals are profiting off this disaster whereas they exploit their drivers and deny them a residing wage, unemployment insurance coverage, sick go away and different fundamental office protections,” stated Assemblywoman Gonzalez of San Diego in a press release to CNN Enterprise, including reward to Elliott and Boudin’s actions. “I hope different officers comply with their lead. These firms should be held to the identical requirements as another law-abiding enterprise within the state,” Gonzalez added….

The risk to the mixed on-demand enterprise mannequin is obvious. Uber, Lyft, Instacart, DoorDash and Uber-owned Postmates have funneled greater than $110 million into passing a referendum in November, referred to as Prop 22, that will exempt them from the legislation whereas offering drivers with some further advantages.

Moreover, Uber and Lyft are dealing with lawsuits from California’s Labor Commissioner’s Workplace over allegedly committing wage theft by misclassifying their on-demand employees as impartial contractors as an alternative of workers.

Learn extra of this story at Slashdot.