Top 2019 Legislative Session Takeaways
â€‹2019 was the first year of a two year legislative session, as well as Governor Gavin Newsom's first year as governor.
|California Govenor, Gavin Newsom
Photo Credit: Gage Skidmore
Probably the most significant human resource issue this past year in the Legislature was how to address the California Supreme Court's decision in Dynamex, which placed a stricter standard on what is an independent contractor and applies retroactively. The decision was specific to occupations and industries covered by state wage orders. The Governor signed AB 5 (Gonzalez), which codifies Dynamex and expands it to the full Labor Code and does not address retroactivity. During the legislative deliberations, a number of exemptions were added for specific activities. Among these are a business-to-business exemption for situations where a contractor is “providing services directly to the contracting business rather than to customers of the contracting business.” There is also one for licensed contractor-subcontractor relationships, which includes “providing construction trucking services” for a contractor. The trucking provision expires in 2022.
Read the full 2019 legislative wrap up from Adam Harper, CalCIMA Director of Policy Analysis in the most recent issue of CalCIMA Conveyor Magazine .