What’s your view of the so-called ‘ABC test’ for the independent contractor classification in California (also being pursued by other states)?

2 Comments

  • Lynn Montry - 4 years ago

    The reason the State is doing this is. You have drivers that have more than one truck and paying those drivers on a 1099. You have Companies that are paying company drivers on a 1099. They are not getting Workers Comp. Ins.. They are not paying into the drivers SS, Meda Care, or anything else. The driver have to pay all of the tax that the owner or comp. should be paying half of. If the driver gets in an accident and gets injured he is on his own for medical and also loses wages. Not only this it against the law to pay a driver on a 1099, the driver is out all the way around.

  • Steve - 4 years ago

    I disagree with AB5, but the states should have the right to define a business as they wish, therefore business licenses. With that said, once they decide to make it law, there should NOT BE ANY exemptions to that law. If there can be no leased owner operators, then there should not be any construction sub-contractors. A general contractor hires “subs” that do work that the general contractor is hired to do. This law should either be in FULL EFFECT or NOT AT ALL.
    With that said, the states cannot deem what other states are able to declare a business.

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