News Release

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Northern California Record: California Retailers Association CEO: Independent contractor bill expected ‘to result in extensive, costly litigation’

By Rich Peters Sep 24, 2019

“Assembly Bill 5 was one of the most widely watched measures in the legislature in 2019,” said California Retailers Association (CRA) President and CEO Rachel Michelin. “CRA worked with the business community in support of efforts to create additional and broader exemptions under Dynamex for workers who prefer to set their own hours and for business-to-business contracts, among others. Those amendments were not accepted. Neither were amendments sought by many individual industries in search of specific exemptions, notably truck drivers and the ‘gig economy.’

“Governor Newsom’s pronouncement last week that he will continue to negotiate with Silicon Valley companies on a gig-economy bill almost assures there will be another AB 5-type of bill next year, and it’s easy to imagine there will be independent contractor issues for many years to come as both the economy and Dynamex case law evolve.”

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