Today, 1 in 5 jobs in America is held by an independent contractor. Over half of these workers say no amount of money could convince them to pursue traditional jobs instead.
California’s law, AB5, sets strict guidelines for who may qualify as an independent contractor versus an employee. Proponents of AB5 argue that it protects workers’ rights.
In reality, AB5:
- Kills workers’ preferred flexible work arrangements.
- Leaves businesses with less resources overall for wages and jobs.
- Causes layoffs when businesses cannot afford the high cost of reclassifying workers as employees.