[Sign Up Now] to Receive Our FREE Daily SCVTV-SCVNews Digest by E-Mail

Inside
Weather
Santa Clarita CA
Clear
Clear
42°F
 
Calendar
Today in
S.C.V. History
December 15
1987 - Incorporation: Santa Clarita officially becomes a city [story]
first City Council


| Wednesday, Sep 11, 2019
gig economy bill - An Uber driver in a second-generation Ford Fusion in San Francisco. | Photo: Dllu/WMC 4.0.
An Uber driver in a second-generation Ford Fusion in San Francisco. | Photo: Dllu/WMC 4.0.

 

SACRAMENTO — California lawmakers voted Tuesday to shatter the business models of homegrown companies like Uber and Lyft by approving the gig economy bill Assembly Bill 5, legislation that would force the tech industry and many others to turn independent contractors into employees.

The measure by Assemblywoman Lorena Gonzalez, D-San Diego, is one of the most contentious bills of the legislative session and has pitted labor unions and Democrats against the gig economy and the minority Republican faction.

Supporters hope the gig economy bill will set off a tide of similar legislation across the country and extend benefits to millions of contractors, while Uber, Lyft and Doordash are threatening to spend nearly $100 million to overturn the bill via ballot measure once it’s enacted.

“We will raise the standards for millions of workers and ensure they gain access to critical rights and benefits,” said state Sen. Maria Elena Durazo, D-Los Angeles. “We can make California a global leader in protections for gig workers, janitors, construction workers and so many working people who can’t even pay their rent.”

Durazo reminded everyone in the Senate chambers Tuesday night that the landmark 2018 California Supreme Court decision that prompted Assembly Bill 5 was backed by the court’s Republican chief justice. She said it was time for the Legislature to codify the ruling in Dynamex v. Superior Court and bring much-needed clarity to state employment law.

In Dynamex, the state supreme court ruled that to classify workers as contractors, a company must show it does not directly control the worker, that the work falls outside its usual course of business, and that the worker is “customarily engaged in an independently established trade.” The three prongs have been referred to as the “ABC test,” and this the standard that Gonzalez is attempting to codify in law through AB 5.

The ruling set off a flurry of employment lawsuits, emergency corporate boardroom meetings and sent a horde of lobbyists to Gonzalez’s office.

Trade groups have been watching AB 5 closely, and some of their lobbying efforts have paid off.

Gonzalez has agreed to exempt real estate agents, doctors, lawyers, insurance agents and hairstylists from her gig economy bill, and there was separate legislation proposed late Tuesday that would exempt newspaper carriers for one year.

But she has refused to do the same for rideshare or independent truck drivers who have petitioned for carve-outs.

The exemptions have caused critics to accuse Gonzalez and the bill’s supporters of “picking winners and losers.”

“This Legislature should not be in the business of picking favorites, which is exactly what this legislation does,” said Senate Republican Leader Shannon Grove. “A one-size-fits-all employment test should not, and cannot apply to these Californians who depend on income from independent contract work.”

Grove’s Republican caucus tried to put the majority party on the spot by issuing 12 sets of last-ditch hostile amendments for industries that weren’t given exemptions under the final bill. The Republicans bargained for carve-outs for independent truck drivers, designers, lumber workers and certain medical professionals.

But the proposals did little more than delay the inevitable and were all shot down by the Democrats.

After more than two hours of debate, the Senate voted 29-11 to send the proposal to the Assembly to consider the recent amendments. The Assembly approved the original version of the bill by 55-11 vote in May and has until an end of session deadline Friday to decide whether to send the bill to Democratic Gov. Gavin Newsom.

Many Democratic senators acknowledged that the bill isn’t perfect but agreed that AB 5 should serve as a placeholder until further legislation can be proposed in 2020.

“There is more work to be done. But I don’t know, how many years do you want to take before we bring something forward that actually tries to address some of the concerns of the categories of workers that we should address?” asked Senate President Toni Atkins, D-San Diego.

Though it appears likely the bill will be approved by Gov. Newsom, the fight is far from over. Uber and others are threatening to spend $90 million to qualify a 2020 ballot measure and overturn AB 5, setting up a battle between state labor unions and the gig economy.

State Sen. Jeff Stone, R-Temecula, made it obvious that he and other Senate Republicans will be siding with the affected industries.

“We’ve turned this bill into a Christmas tree for labor unions that might as well have an office right here in the state Capitol,” Stone said.

— By Nick Cahill

Comment On This Story
COMMENT POLICY: We welcome comments from individuals and businesses. All comments are moderated. Comments are subject to rejection if they are vulgar, combative, or in poor taste.
REAL NAMES ONLY: All posters must use their real individual or business name. This applies equally to Twitter account holders who use a nickname.

0 Comments

You can be the first one to leave a comment.

Leave a Comment


SCV NewsBreak
LOCAL NEWS HEADLINES
Friday, Dec 13, 2019
Worker in Critical Condition After Fall from Hospital Roof
A construction worker suffered serious injuries and remains in critical condition after he fell one story from the roof of the Henry Mayo Newhall Hospital Pavillion Thursday morning.
Friday, Dec 13, 2019
SCV Veteran, Hart Grad Ernesto Trevizo, Family Awarded $500K Home
The Selection and Interview Committees of the Santa Clarita Veteran Services Collaborative has chosen local veteran Ernesto Trevizo, his wife Alyssa, and their two children, Sonny and Zachary, as the recipients of a new home valued at $500,000.
Friday, Dec 13, 2019
Hooded Figure, Shootings Prompt Meetup with Captain Lewis and Jewish Leaders
The Nov. 14 Saugus High School shooting, the shootout in New Jersey and even the reported sighting of a man dressed like the Grim Reaper near a local synagogue, prompted sheriff’s Capt. Robert Lewis to invite Jewish leaders for a sit-down chat Thursday to discuss concerns and reassure them that safety remains his top priority.
Keep Up With Our Facebook

Latest Additions to SCVNews.com
1987 - Incorporation: Santa Clarita officially becomes a city [story]
first City Council
1931 - Season's first major storm deposits 9 inches of snow in Newhall, 10 in Saugus [story]
1931 snowfall
The Santa Clarita Valley Chamber of Commerce Board of Directors on Thursday announced its 2020 Executive Committee, which will help lead the Chamber as it begins a new decade and looks to its centennial in 2023.
SCV Chamber Sets 2020 Executive Committee, Business Councils
Los Angeles County Assessor Jeff Prang will start hiring Real Property Appraisers as of Monday when the official job filing for the positions will open at 12:30 p.m. (PT).
LA County Hiring Real Property Appraisers
A construction worker suffered serious injuries and remains in critical condition after he fell one story from the roof of the Henry Mayo Newhall Hospital Pavillion Thursday morning.
Worker in Critical Condition After Fall from Hospital Roof
Santa and Ms. Claus will visit the Vincenzo’s Pizza – Newhall restaurant for photos with kids of all ages in a fundraiser for AvenuesSLS.org on Saturday, December 14, from noon to 5 p.m.
Dec. 14: Photos with Santa, AvenuesSLS Fundraiser at Vincenzo’s
The city of Santa Clarita’s Environmental Services Division has planned, coordinated and implemented programs during 2019 designed to make the city more "green."
Green Santa Clarita: 2019 By the Numbers
The Los Angeles County Board of Supervisors has published the agenda for their Tuesday, December 17 meeting starting at 9:30 a.m.
LA County Supervisors – December 17 Meeting Agenda
The Los Angeles Rams on Thursday named Andrew Whitworth (pictured above) as its nominee for the Walter Payton NFL Man of the Year Award presented by Nationwide.
Rams Name Whitworth Team’s Nominee for NFL Payton Award
The city of Santa Clarita and the Santa Clarita City Council invite residents to celebrate the holiday season with their friends and neighbors as the Jingle Bell Jamboree returns to the Newhall Community Center on Friday, December 20, from 6 p.m. to 8 p.m.
Dec. 20: Jingle Bell Jamboree at Newhall Community Center
During their organizational meeting held Wednesday, Newhall School District Board members re-elected Sue Solomon as their board president for 2020.
Sue Solomon Re-Elected Newhall School Board President
For his exceptional contributions to advancing open education around the world, James Glapa-Grossklag, Dean of Learning Resources at College of the Canyons, received the President’s Award for Excellence at the 2019 Open Education Global Conference.
COC Dean James Glapa-Grossklag Recognized for Leadership
Castaic School Board members held their annual organizational meeting on December 12 and elected officers and representatives for 2020.
Castaic School Board Elects 2020 Officers, Reps
The Selection and Interview Committees of the Santa Clarita Veteran Services Collaborative has chosen local veteran Ernesto Trevizo, his wife Alyssa, and their two children, Sonny and Zachary, as the recipients of a new home valued at $500,000.
SCV Veteran, Hart Grad Ernesto Trevizo, Family Awarded $500K Home
Starting Jan. 11, most Santa Clarita businesses will see a nearly 40% increase to their monthly waste-disposal services amid global changes to the recycling industry that are prompting waste-management companies to ask for trash rate adjustments.
City Council OK’s Trash Rate Hike as China Refuses Most U.S. Recyclables
The process for how local organizations receive grant funding for arts programs and services for the community from the city of Santa Clarita could soon change with the implementation of a peer panel with outside arts experts.
City Council Discusses Peer Panel for Arts Grants Program
The Nov. 14 Saugus High School shooting, the shootout in New Jersey and even the reported sighting of a man dressed like the Grim Reaper near a local synagogue, prompted sheriff’s Capt. Robert Lewis to invite Jewish leaders for a sit-down chat Thursday to discuss concerns and reassure them that safety remains his top priority.
Hooded Figure, Shootings Prompt Meetup with Captain Lewis and Jewish Leaders
The city of Los Angeles sued the Federal Aviation Administration on Thursday over a shift in flight patterns for planes departing Hollywood Burbank Airport that has dramatically increased noise levels for residents and businesses.
LA Sues FAA Over Jet Noise at Hollywood Burbank Airport
Express Employment Professionals, along with its franchise location in Santa Clarita, has donated $10,000 to Carousel Ranch.
Carousel Ranch Receives $10K Donation from Express Employment Professionals
Dozens of carolers’ voices filled the streets neighboring Duane R. Harte Park in honor of Gracie Muehlberger, a victim of the Saugus High School shooting, during the “Caroling with Gracie” event that spread holiday cheer while also giving back to students in need.
Community Goes ‘Caroling with Gracie’ Muehlberger
1900 - Automobile Club of Southern California founded; first car in SCV appeared 1902 [story]
Auto Club Topper
Two Los Angeles County sheriff's deputies pleaded not guilty Thursday to felony charges that they filed false reports and committed perjury relating to traffic stops made in the Santa Clarita Valley in 2016.
SCV Deputies Allegedly Fudged Traffic Tickets Written to Other Cops
The College of the Canyons softball program invites all former Cougars to participate in the 2020 alumni game being held at 1:00 p.m. Saturday, Jan. 18, 2020 at Whitten Field.
Jan. 18: COC Softball Alumni Game
The weather in the Santa Clarita Valley in December is usually crisp with plenty of warm sun. Now is a great time to set up a plan to maintain your landscape through the winter or make a big change for the new year – like removing your lawn in favor of more colorful and water-efficient alternatives.
Dec. 14: SCV Water’s Basics of Lawn Removal Gardening Class
%d bloggers like this: