AB 2257

  • California Assembly Bill
  • 2019-2020 Regular Session
  • Introduced in Assembly
  • Passed Assembly Jun 11, 2020
  • Passed Senate Aug 31, 2020
  • Signed by Governor Sep 04, 2020

Worker classification: employees and independent contractors: occupations: professional services.

Abstract

Existing law requires a 3-part test, commonly known as the "ABC" test, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Under the ABC test, a person providing labor or services for remuneration is considered an employee rather than an independent contractor unless the hiring entity demonstrates that the person is free from the control and direction of the hiring entity in connection with the performance of the work, the person performs work that is outside the usual course of the hiring entity's business, and the person is customarily engaged in an independently established trade, occupation, or business. Existing law charges the Labor Commissioner with the enforcement of labor laws, including worker classification. Existing law exempts specified occupations and business relationships from the application of the ABC test described above. Existing law, instead, provides that these exempt relationships are governed by the multifactor test previously adopted in the case of S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989) 48 Cal.3d 341. Existing exemptions include persons providing professional services under specified circumstances, including certain services provided by still photographers, photojournalists, freelance writers, editors, and newspaper cartoonists. This bill would revise and recast these provisions. The bill would additionally exempt certain occupations in connection with creating, marketing, promoting, or distributing sound recordings or musical compositions. The bill would also exempt a musician or musical group for the purpose of a single-engagement live performance event, unless certain conditions apply, and would define related terms. The bill would also exempt an individual performance artist presenting material that is their original work and creative in character and the result of which depends primarily on the individual's invention, imagination, or talent, if certain conditions are satisfied. This bill would delete the existing professional services exemptions for services provided by still photographers, photojournalists, freelance writers, editors, and newspaper cartoonists. The bill would, instead, establish an exemption for services provided by a still photographer, photojournalist, videographer, or photo editor, as defined, who works under a written contract that specifies certain terms, subject to prescribed restrictions. The bill would establish an exemption for services provided to a digital content aggregator, as defined, by a still photographer, photojournalist, videographer, or photo editor. The bill would establish an exemption for services provided by a fine artist, freelance writer, translator, editor, content contributor, advisor, narrator, cartographer, producer, copy editor, illustrator, or newspaper cartoonist who works under a written contract that specifies certain terms, subject to prescribed restrictions. This bill would create additional exemptions for various professions and occupations. In this regard, the bill would exempt from the ABC test people who provide underwriting inspections and other services for the insurance industry, a manufactured housing salesperson, subject to certain obligations, people engaged by an international exchange visitor program, as specified, consulting services, animal services, and competition judges with specialized skills, as specified. The bill would also create exceptions for licensed landscape architects, specialized performers teaching master classes, registered professional foresters, real estate appraisers and home inspectors, and feedback aggregators. The bill would revise the conditions pursuant to which business service providers providing services pursuant to contract to another business are exempt. The bill would revise the criteria pursuant to which referral agencies and service providers providing services to clients through referral agencies are exempt and would revise applicable definitions. The bill would also create an exemption for business-to-business relationships between 2 or more sole proprietors, as specified. The bill would provide that a hiring entity need only satisfy all of the conditions of one of the exemption provisions to qualify for the exemption from the ABC Test. Existing law authorizes an action for injunctive relief to prevent misclassification of employees, to be prosecuted against a putative employer by the Attorney General or a city attorney. This bill would also authorize a district attorney to prosecute an action for injunctive relief. Existing provisions of tax law define "employee" for purposes of those provisions. This bill would make conforming changes to tax law regarding the determination of the status of a worker as either an employee or an independent contractor per the criteria described above. This bill would declare that it is to take effect immediately as an urgency statute.

Bill Sponsors (3)

Gonzalez

     
Author

Calderon

     
Principal Coauthor

Votes


Actions


Sep 04, 2020

California State Legislature

Approved by the Governor.

California State Legislature

Chaptered by Secretary of State - Chapter 38, Statutes of 2020.

Sep 01, 2020

California State Legislature

Enrolled and presented to the Governor at 3:15 p.m.

Aug 31, 2020

Assembly

Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 74. Noes 0.).

Assembly

In Assembly. Concurrence in Senate amendments pending.

Senate

Read third time. Urgency clause adopted. Passed. Ordered to the Assembly. (Ayes 39. Noes 0.).

Aug 26, 2020

Senate

Read second time. Ordered to third reading.

Aug 25, 2020

Senate

Read third time and amended. Ordered to second reading.

Aug 24, 2020

Senate

Read second time. Ordered to third reading.

Aug 20, 2020

Senate

From committee: Amend, and do pass as amended. (Ayes 7. Noes 0.) (August 20).

Senate

Read second time and amended. Ordered returned to second reading.

Aug 17, 2020

Senate

In committee: Referred to APPR. suspense file.

  • Referral-Committee
APPR APPR. suspense file.

Aug 07, 2020

Senate

Read second time and amended. Re-referred to Com. on APPR.

  • Reading-1
  • Referral-Committee
  • Amendment-Passage
  • Reading-2
Com. on APPR.

Aug 06, 2020

Senate

From committee: Amend, and do pass as amended and re-refer to Com. on APPR. (Ayes 5. Noes 0.) (August 5).

Jul 01, 2020

Senate

Referred to Com. on L., P.E. & R.

  • Referral-Committee
Com. on L., P.E. & R.

Jun 11, 2020

Senate

In Senate. Read first time. To Com. on RLS. for assignment.

Assembly

Read third time. Urgency clause adopted. Passed. Ordered to the Senate. (Ayes 77. Noes 0. Page 4831.).

Jun 08, 2020

Assembly

Read second time. Ordered to third reading.

Jun 04, 2020

Assembly

Read second time and amended. Ordered returned to second reading.

Jun 03, 2020

Assembly

From committee: Amend, and do pass as amended. (Ayes 18. Noes 0.) (June 3).

Jun 02, 2020

Assembly

In committee: Set, first hearing. Referred to APPR. suspense file.

  • Referral-Committee
APPR APPR. suspense file.

May 21, 2020

Assembly

From committee: Do pass and re-refer to Com. on APPR. (Ayes 7. Noes 0.) (May 20). Re-referred to Com. on APPR.

  • Referral-Committee
  • Committee-Passage-Favorable
  • Committee-Passage
Com. on APPR.

May 07, 2020

Assembly

Re-referred to Com. on L. & E.

  • Referral-Committee
Com. on L. & E.

May 06, 2020

Assembly

From committee chair, with author's amendments: Amend, and re-refer to Com. on L. & E. Read second time and amended.

May 05, 2020

Assembly

Re-referred to Com. on L. & E.

  • Referral-Committee
Com. on L. & E.

May 04, 2020

Assembly

From committee chair, with author's amendments: Amend, and re-refer to Com. on L. & E. Read second time and amended.

Apr 24, 2020

Assembly

Referred to Com. on L. & E.

  • Referral-Committee
Com. on L. & E.

Feb 14, 2020

Assembly

From printer. May be heard in committee March 15.

Feb 13, 2020

Assembly

Read first time. To print.

Bill Text

Bill Text Versions Format
AB2257 HTML
02/13/20 - Introduced PDF
05/04/20 - Amended Assembly PDF
05/06/20 - Amended Assembly PDF
06/04/20 - Amended Assembly PDF
08/07/20 - Amended Senate PDF
08/20/20 - Amended Senate PDF
08/25/20 - Amended Senate PDF
09/01/20 - Enrolled PDF
09/04/20 - Chaptered PDF

Related Documents

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Sources

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