Section 2750.3

CA Worker Classification: The ABC Test, Exemptions, and Further Amendment

On September 18, 2019, California Governor Gavin Newsom, signed Assembly Bill 5 (“AB 5”) into law. AB 5 is a state statute that expands on Dynamex Operations West, Inc. v. The Superior Court of Los Angeles and went into effect January 1, 2020. AB 5 adds Section 2750.3 to the California Labor Code to codify the “ABC Test” to determine whether a worker is an independent contractor or an employee. The ABC Test presumes that a worker is an employee, unless, the hiring party establishes a few conditions.