CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 3190Introduced by Assembly Member HaneyFebruary 16, 2024 An act to amend Section 2784 of the Labor Code, relating to employment. LEGISLATIVE COUNSEL'S DIGESTAB 3190, as introduced, Haney. Employment: classification.Existing law, as established in the case of Dynamex Operations W. v. Superior Court (2018) 4 Cal.5th 903 (Dynamex), creates a presumption that a worker who performs services for a hirer is an employee for purposes of claims for wages and benefits arising under wage orders issued by the Industrial Welfare Commission. Existing statutory law codifies the decision in the Dynamex case and clarifies its application. Existing law considers, for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission, a person providing labor or services for remuneration to be an employee rather than an independent contractor unless the hiring entity demonstrates that certain conditions are satisfied, as specified.Existing law exempts specified occupations and business relationships from the application of these provisions, including the relationship between a motor club, as described, and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party. Existing law applies a different court case to the classification of such an individual.This bill would make a nonsubstantive change to the provisions governing the relationship between the above-described motor club and individual.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 2784 of the Labor Code is amended to read:2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 3190Introduced by Assembly Member HaneyFebruary 16, 2024 An act to amend Section 2784 of the Labor Code, relating to employment. LEGISLATIVE COUNSEL'S DIGESTAB 3190, as introduced, Haney. Employment: classification.Existing law, as established in the case of Dynamex Operations W. v. Superior Court (2018) 4 Cal.5th 903 (Dynamex), creates a presumption that a worker who performs services for a hirer is an employee for purposes of claims for wages and benefits arising under wage orders issued by the Industrial Welfare Commission. Existing statutory law codifies the decision in the Dynamex case and clarifies its application. Existing law considers, for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission, a person providing labor or services for remuneration to be an employee rather than an independent contractor unless the hiring entity demonstrates that certain conditions are satisfied, as specified.Existing law exempts specified occupations and business relationships from the application of these provisions, including the relationship between a motor club, as described, and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party. Existing law applies a different court case to the classification of such an individual.This bill would make a nonsubstantive change to the provisions governing the relationship between the above-described motor club and individual.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION
Assembly Bill
No. 3190
Introduced by Assembly Member HaneyFebruary 16, 2024
Introduced by Assembly Member Haney
February 16, 2024
An act to amend Section 2784 of the Labor Code, relating to employment.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 3190, as introduced, Haney. Employment: classification.
Existing law, as established in the case of Dynamex Operations W. v. Superior Court (2018) 4 Cal.5th 903 (Dynamex), creates a presumption that a worker who performs services for a hirer is an employee for purposes of claims for wages and benefits arising under wage orders issued by the Industrial Welfare Commission. Existing statutory law codifies the decision in the Dynamex case and clarifies its application. Existing law considers, for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission, a person providing labor or services for remuneration to be an employee rather than an independent contractor unless the hiring entity demonstrates that certain conditions are satisfied, as specified.Existing law exempts specified occupations and business relationships from the application of these provisions, including the relationship between a motor club, as described, and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party. Existing law applies a different court case to the classification of such an individual.This bill would make a nonsubstantive change to the provisions governing the relationship between the above-described motor club and individual.
Existing law, as established in the case of Dynamex Operations W. v. Superior Court (2018) 4 Cal.5th 903 (Dynamex), creates a presumption that a worker who performs services for a hirer is an employee for purposes of claims for wages and benefits arising under wage orders issued by the Industrial Welfare Commission. Existing statutory law codifies the decision in the Dynamex case and clarifies its application. Existing law considers, for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission, a person providing labor or services for remuneration to be an employee rather than an independent contractor unless the hiring entity demonstrates that certain conditions are satisfied, as specified.
Existing law exempts specified occupations and business relationships from the application of these provisions, including the relationship between a motor club, as described, and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party. Existing law applies a different court case to the classification of such an individual.
This bill would make a nonsubstantive change to the provisions governing the relationship between the above-described motor club and individual.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 2784 of the Labor Code is amended to read:2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.
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 of the Labor Code is amended to read:2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.
SECTION 1. Section 2784 of the Labor Code is amended to read:
### SECTION 1.
2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.
2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.
2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.
2784. Section 2775 and the holding in Dynamex do not apply to the relationship between a motor club holding a certificate of authority issued pursuant to Chapter 2 (commencing with Section 12160) of Part 5 of Division 2 of the Insurance Code and an individual performing services pursuant to a contract between the motor club and a third party to provide motor club services utilizing the employees and vehicles of the third party and, instead, party. Instead, the determination of whether such an individual is an employee of the motor club shall be governed by Borello, if the motor club demonstrates that the third party is a separate and independent business from the motor club.