DC to lobby Congress and “sound the alarm over new, ‘disruptive’ employee classification regulations”.
At the center of the storm is a landmark April 2018 ruling by the California Supreme Court, which ruled that delivery service company Dynamex misclassified its workers as independent contractors when it should be treating them as employees. The Supreme Court adopted California’s narrower version of what it means to be an independent worker, known as the so called “ABC” test, which says:
(A) that the worker is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact;
(B) that the worker performs work that is outside the usual course of the hiring entity’s business; and
(C) that the worker is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed.