California employers are preparing to navigate the requirements of AB-5 and how it will affect the use of independent contractors. Several industry groups including agriculture are working to advocate for some type of exemption or reprieve from the requirements of the new law.
“We’re hoping that within the next year that we maybe get an opportunity, along with the various other industries that this bill affects, that we can all sit at the table and have maybe an added piece of legislation that partners with AB-5,” said Chris McGlothlin, Director of Technical Services for Western Agricultural Processors Association. “And hopefully get something through that either exempts or gives at least some specialized consideration to the industries.”
Passage of the bill was done fairly swiftly and without a lot of input from industry members in relation to the financial impact that AB-5 will have. Several groups representing various industries and communities will be working to quantify the impact of AB-5 and communicate that to legislators.
“We signed onto an opposition letter that included far more industries than just the agricultural industry specifically,” said McGlothlin. “With that kind of showing for a letter that was submitted, I think it got the attention of some of the legislators in the Assembly and so we hope that that has some impact moving forward and within the next year we can lay out a lot of our concerns.”
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