FRESNO, Calif. (KMJ) — The California Labor, Public Employment, and Retirement Committee approved Assembly Bill 5 on Wednesday. The controversial measure calls for reclassifying thousands of independent contractors as employees.
Outside the California State Capitol, a rally was held, in which Assembly Speaker Anthony Rendon claimed that independent contracting amounts to “corporations trying to oppress workers.” He continued with, “When you hear about folks talking about the new economy, the gig economy, and the innovation economy, it’s f*****g feudalism, all over again.”
Assembly Bill 5 aims to expand a 2018 California Supreme Court ruling that makes it harder for businesses to classify workers as independent contractors, stating that workers are employees if companies control their activities, they perform work central to the company’s business, and if the workers do not have independent enterprises doing such work.
It’s drawn significant opposition from numerous corporations, including ride-sharing giants Uber and Lyft.
The bill still needs to clear the Senate floor.