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  • Exemptions for Independent Contractors Protect Some but Leave Others in the Cold

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    Van Nuys, Calif. – As AB 5 (Gonzalez) makes its way out of the legislature, the Valley Industry and Commerce Association (VICA) continues to be concerned with the implications of the bill, which limits the definition of independent contractor by codifying the California Supreme Court Dynamex ruling.

    VICA President Stuart Waldman said:
    “Californians have relied on the independent contractor model for decades, and we are relieved that workers in many of these industries can continue to use the model that has worked for them. However, the Legislature only identified certain industries who will be impacted, and we already know that there are many, many other workers who will be harmed.

    “For example, many not-for-profits rely on bringing in experts as independent contractors for short periods of time. In Los Angeles, the entertainment industry relies on independent contractors – for example, a musical artist will work with many collaborators such as producers, background singers, managers, and many more. Under AB 5, that artist could be considered the ‘employer’ of those other professionals – placing an enormous new pressure on new, upcoming talent.

    “We know that AB 5 just won’t work for many professionals – that’s why there were so many exemptions written into the bill. We urge the Legislature to continue negotiating ahead of 2020 so that the many workers left out in the cold by this bill can be taken care of.”
    The mission of the Valley Industry & Commerce Association (VICA) is to enhance the economic vitality of the greater San Fernando Valley region by advocating for a better business climate and quality of life
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