(FinancialHealth.net) – In 2019, California Democrats passed a law known as Assembly Bill 5 (AB5) and it has wreaked havoc on independent contractors in the state. Now, a federal judge is protecting the trucking industry from the damage.
AB5 was originally intended to protect workers from being mislabeled as independent contractors. Instead, the law caused companies like Vox Media to terminate contracts of hundreds of writers who live in California. The trucking industry and ride-sharers were also targeted.
However, the California Trucking Association sued and got results — at least temporarily. US District Judge Roger T. Benitez protected the jobs of 70,000 truckers. The judge issued a ruling saying the state is “temporarily enjoined from enforcing Assembly Bill 5 (‘AB-5’) as to any motor carrier operating in California, pending this Court’s resolution of Plaintiffs’ motion for a preliminary injunction.”
The ruling is great if you are among the thousands of truckers in California who would have lost your livelihood. Sadly, many others are still hurting. Each day the law is in effect, independent contractors in industries not exempt from AB5 continue to suffer.
~Here’s to Your Financial Health!
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