Rideshare companies like Uber and Lyft are celebrating the passage of Proposition 22 in a 58% to 42% victory. Through passage of the Proposition, certain gig-economy companies were able to secure a complete exemption from AB 5, the law passed in 2019 by the California legislature that codified the Dynamex decision and made the ABC Test for classifying workers as independent contractors the law in California, subject to a number of enumerated exemptions. This means that entities that engage workers covered by Prop. 22 would not have to comply with the ABC Test in order to classify certain workers as independent contractors.
Continue reading the full GT Alert, “Voters Approve California Prop. 22: Now What?”