All Eyes on Sacramento July 13. July 13 is the date the California Legislature will return from summer recess. The agenda is daunting. For employers, there is the ongoing expansion and clarification of who is an independent contractor. Assembly Bill 1850 (Gonzalez) is the primary vehicle for this latest round of changes, but it is also clear from the approved budget that the Labor Commissioner and local district attorneys will be aggressively pursuing misclassification claims. July 1 is also the official date of enforcement by the Attorney General of the California Consumer Protection Act of 2018 - even as the business community waits for the implementing regulations to be finalized by the Office of Administrative Law (OAL). Further investment in compliance is likely misspent, since the California Consumer Protection Act of 2020 will be on the November ballot as Proposition 24 and businesses large and small will have to rethink all the efforts on compliance they undertook for the 2018 Act.
The big question will be how will the Legislature deal with COVID-19 and presumptions of compensability. There is a coordinated grassroots efforts from the business community to limit the effects of new legislation, and Senate Bill 1159 remains the likely vehicle for codifying the Governor's Executive Order - at least parts of which will expire July 5 - and creating a limited presumption going forward. What happens along the way, however, is far from certain.
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Workers Compensation Insights
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Workers' Compensation Insights is the publication of Prop 23 Advisors. Subscribers will receive in depth analyses of pending California legislation and regulations, review of important WCAB and appellate court decisions, and commentary on trends within the system both nationally and in California. Insights is published bi-monthly subject to the timing of significant legislative activity in Sacramento.
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