California 2021 2021-2022 Regular Session

California Assembly Bill AB1227 Introduced / Bill

Filed 02/19/2021

                    CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1227Introduced by Assembly Member LevineFebruary 19, 2021 An act to add Section 2784.3 to the Labor Code, relating to employment. LEGISLATIVE COUNSEL'S DIGESTAB 1227, as introduced, Levine. Worker classification: employees and independent contractors: workers in seasonal live theatre. Existing law requires a 3-part test, commonly known as the ABC test, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Under the ABC test, a person providing labor or services for remuneration is considered an employee rather than an independent contractor unless the hiring entity demonstrates that the person is free from the control and direction of the hiring entity in connection with the performance of the work, the person performs work that is outside the usual course of the hiring entitys business, and the person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed. Existing law exempts specified occupations and business relationships from the application of these provisions. Existing law instead provides that these occupations and business relationships are governed by the test adopted in S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989) 48 Cal.3d 341 (Borello). Existing law charges the Labor Commissioner with the enforcement of labor laws, including worker classification.This bill would also exempt workers in seasonal live theatre.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 2784.3 is added to the Labor Code, to read:2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.

 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION Assembly Bill No. 1227Introduced by Assembly Member LevineFebruary 19, 2021 An act to add Section 2784.3 to the Labor Code, relating to employment. LEGISLATIVE COUNSEL'S DIGESTAB 1227, as introduced, Levine. Worker classification: employees and independent contractors: workers in seasonal live theatre. Existing law requires a 3-part test, commonly known as the ABC test, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Under the ABC test, a person providing labor or services for remuneration is considered an employee rather than an independent contractor unless the hiring entity demonstrates that the person is free from the control and direction of the hiring entity in connection with the performance of the work, the person performs work that is outside the usual course of the hiring entitys business, and the person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed. Existing law exempts specified occupations and business relationships from the application of these provisions. Existing law instead provides that these occupations and business relationships are governed by the test adopted in S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989) 48 Cal.3d 341 (Borello). Existing law charges the Labor Commissioner with the enforcement of labor laws, including worker classification.This bill would also exempt workers in seasonal live theatre.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: YES  Local Program: NO 





 CALIFORNIA LEGISLATURE 20212022 REGULAR SESSION

 Assembly Bill 

No. 1227

Introduced by Assembly Member LevineFebruary 19, 2021

Introduced by Assembly Member Levine
February 19, 2021

 An act to add Section 2784.3 to the Labor Code, relating to employment. 

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 1227, as introduced, Levine. Worker classification: employees and independent contractors: workers in seasonal live theatre. 

Existing law requires a 3-part test, commonly known as the ABC test, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Under the ABC test, a person providing labor or services for remuneration is considered an employee rather than an independent contractor unless the hiring entity demonstrates that the person is free from the control and direction of the hiring entity in connection with the performance of the work, the person performs work that is outside the usual course of the hiring entitys business, and the person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed. Existing law exempts specified occupations and business relationships from the application of these provisions. Existing law instead provides that these occupations and business relationships are governed by the test adopted in S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989) 48 Cal.3d 341 (Borello). Existing law charges the Labor Commissioner with the enforcement of labor laws, including worker classification.This bill would also exempt workers in seasonal live theatre.

Existing law requires a 3-part test, commonly known as the ABC test, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Under the ABC test, a person providing labor or services for remuneration is considered an employee rather than an independent contractor unless the hiring entity demonstrates that the person is free from the control and direction of the hiring entity in connection with the performance of the work, the person performs work that is outside the usual course of the hiring entitys business, and the person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed. Existing law exempts specified occupations and business relationships from the application of these provisions. Existing law instead provides that these occupations and business relationships are governed by the test adopted in S. G. Borello & Sons, Inc. v. Department of Industrial Relations (1989) 48 Cal.3d 341 (Borello). Existing law charges the Labor Commissioner with the enforcement of labor laws, including worker classification.

This bill would also exempt workers in seasonal live theatre.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 2784.3 is added to the Labor Code, to read:2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. Section 2784.3 is added to the Labor Code, to read:2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.

SECTION 1. Section 2784.3 is added to the Labor Code, to read:

### SECTION 1.

2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.

2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.

2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.



2784.3. Section 2775 and the holding in Dynamex do not apply to workers in seasonal live theatre, and instead, the determination of whether an individual is an employee or independent contractor shall be governed by Borello.