California Court Says Truckers Exempt From ‘Gig Worker’ Law (Breaking)

www.oann.com ^ | January 10, 2020 | Lisa Baertlein

[hapnHal]

California’s new “gig worker” law does not apply to independent truck drivers because they are subject to federal statute, a Los Angeles judge ruled, handing a victory to one industry that is challenging a state effort to clamp down on labor abuses.

The law, known as AB5 and which took effect on Jan. 1, makes it tougher for companies to classify workers as contractors rather than employees, a classification that exempts them from paying for overtime, healthcare and workers’ compensation.

Report AdTruckers have mounted the strongest defense against AB5, which is best known for striking at the heart of high-profile “gig economy” businesses like Uber Technologies and Postmates Inc, which depend on freelance workers to provide low-cost transportation and deliveries.

In a decision on Wednesday, Los Angeles Superior Court judge William Highberger said AB5 “prohibits motor carriers from using independent contractors to provide transportation services” and therefore is preempted by the Federal Aviation and Administration Authorization Act of 1994.

 Highberger ruled in favor of NFI Industries’ Cal Cartage Transportation Express and other trucking companies that were sued by Los Angeles City Attorney Mike Feuer for allegedly misclassifying truck drivers as independent contractors rather than employees.Feuer said his office would appeal.“As the Court itself stated, ‘… there are substantial grounds for difference of opinion,'” Feuer said in a statement emailed to Reuters.Highberger’s decision came eight days after the California Trucking Association won a temporary restraining order in a separate challenge to AB5.

Another hearing in that federal case is scheduled for Jan. 13.California is home to 450,000 contract workers. Roughly 70,000 of them are independent big-rig owner-operators who transport everything from ocean cargo containers to strawberries.“California cannot simply eliminate that business model and force truck drivers to be employees,” said Gibson Dunn partner Joshua Lipshutz, who represented NFI.

[hapnHal]

Attention Truckers “Great News” Exempt from AB5 (Breaking)

[tcrlaf]

Let me guess...
Exemptions for everyone that supports or donates to California Democrats, but none for anyone else??
Who didn’t see this one coming?

[TigersEye]

You think that independent truckers are typical Dem voters?

[EscondidoSurfer]

AB5 is an attack on private businesses. It was initiated because of a lawsuit brought by a trucker which was used to create a broad based law against everyone else. Ironic that the truckers are home free and the rest of us are still stuck.

[Lizavetta]

AB5 is an attack on private businesses.

I see it as an attempt to get more payroll taxes by turning contractors into employees.

Of course, being stupid leftists, they didn't foresee that many of us contractors would NOT be hired as employees and would be simply let go. So no payroll taxes and now less income taxes from people who are making less money because they lost their job.

I F-ing hate these people.

[DoodleBob]

This law will destroy the lives of freelancers and parts of the music industry in CA.

[Spktyr]

Time to move elsewhere, then. It isn’t like AB5 appeared without warning, and if they voted Democrat this is what they voted for.

[HotHunt]

I live a mile and a half down the highway from a big Love's truck stop and walk down there and back on my morning walks.

Over the years, I have befriended many a truck driver and know many by name. I end up talking to a lot of independent truckers.

I have never spoken to a driver about politics who was a democRAT. Not one. They are proudly independent and since 2016, all Trump supporters. And glad to brag about it.

I think you need to rethink your assumptions and try again because I think you missed the target by a mile.

[Lurkina.n.Learnin]

Isn’t Hollywood the ultimate GIG economy? Are they exempt?

[American in Israel]

The only.labor being abused is Organized labor. Slowly the cancer of socialism eats the victim till they drop dead, then the cancer dies...

Kinda like Homosexuality, it chips away at morality thinking to free itself for pleasure till society goes Feral, then it’s a blood bath. It depends on morality for safety and the freedom to live its hedonistic lifestyle.

So in the end, it embraces it’s own destruction for temporary power over justice.

[spokeshave]

And what about care givers..?

As a Uber driver I have given rides to many independent care givers...including some very charming, happy and loving lady car givers from Fiji and other Pacific Islanders.

[jimfree]

Who else has a supremacy argument?

[trebb]

Good - especially since it will open them up for more lawsuits by those being crippled by it...they had to “blink” on the truckers because there’s so much interstate commerce but now those in the State can cry to the courts about unequal terms and conditions.

[HighSierra5]

I don’t know if independent drivers in Mexifornia are Democrats but a lot of them are Hispanic.

[Grammy]

"This law will destroy the lives of freelancers and parts of the music industry in CA."

Unfortunately that means the music folks will move to Nashville, (TN is a right to work state) and bring their "stinkin thinkin" here. We are already full to overflowing with Californians.

[bert]

Stuck?

Incorporate and the law goes away. Corporations are the American way and many benefits will accrue

[DoodleBob]

I think many of them will simply move to Nevada or to Oregon and stay nearby. Their job doesn't require them to actually BE in the State. Now, if they're interviewing or doing on-the-ground research that's a different thing.

A similar bill was working its way through the state houses of NY and NJ. If THAT happens then you MAY see more exodus to Nashville, though I think many of those types may consider Nashville to be a cultural wasteland of Elvis and country music (/ sarc) and not worth their time.

This is a teachable moment for our side. We should be pointing out to freelancers how this is what progressive govt does - destroy lives in the name of "making things better." They won't become full blown Deplorables vernight, but it's a start.

[ml/nj]

makes it tougher for companies to classify workers as contractors rather than employees

Uh.

Independent contractor here.

One would think from this that I was forced into such a status by some mean employer. In fact the situation is quite the opposite. Most companies I've worked for would like me to become an employee for reasons I mostly do not understand.

I am loyal to all those companies because they have been my customer. If one that I worked for ten years ago of more called me tomorrow, I would find a way to help them ASAP. And if I started doing work for some new company next week and they then decided they didn't like me or my work, they could just tell me to stop working for them. No hard feelings, no lawsuits. They don't have to pay me for vacations or sick time or snow days or Social Security. They don't have to pay for any insurance for me, just as they don't have to pay for my house. I pay for those things that I want or which might be required by law. They do pay me a higher rate than they pay most of their employees but when there is no work for me they don't have to pay me at all. And I am quite aware they if they don't make a nice profit on my work, they won't be able to pay me for very long. Most employees I encounter rarely seem to have a similar attitude.

ML/NJ

[Lean-Right]

“does not apply to independent truck drivers because they are subject to federal statute”

So is immigration....