Joint Employer
Congress failed to override a veto of the NLRB’s expanded “Joint Employer” rule that allows workers to seek NLRB protection by lowering the bar for workers to claim joint employment. This action by the
NLRB is meant to ensnare more companies for Labor Law violations and obligations to bargain with
unions.
Think of it this way, if your client requires drug tests or background checks, they may be deemed a joint employer. Imagine the headache your company would face if your client had to spend the time and money to defend itself from one of your former contractors!
It is only a matter of time that the courier and trucking industry is targeted. Are you prepared?
AB5
As we reported back in March, the CTA and OOIDA lost their case to overturn AB5. This leaves Truckers and Couriers as employees. However, the 9 th Circuit has recently ruled that the exemptions will stay in place. This can include Doctors, Dentists, Insurance Agents, Real Estate Agents, Hair Stylists, etc.
It should be noted that Proposition 22, which excluded Gig Workers such as Uber drivers, is being
challenged in California’s Supreme Court. Arguments were heard in May, but a decision has not yet been rendered. A decision holding Uber Drivers, and others, to be employees would be an affront to the will of the voters.
There is still a way to use contract couriers and truckers in California. Ask us how.
Final DOL Rule
One of the biggest headaches facing the independent contractor model is the Final Rule that adds to the difficulty in using the contractor model. Here is a summary:
- Opportunity for profit or loss based on managerial skill.
- Worker’s and potential employer’s investments.
- Degree of permanence of the work relationship.
- The extent of the independent contractor’s control over task execution and work relationship.
- The significance of the tasks performed in relation to the employer’s operations.
- The worker’s expertise and entrepreneurial activities.
DO YOU NEED GUIDANCE ON HOW TO NAVIGATE THROUGH ALL OF THESE REGULTIONS? CONTACT US!