Beyond Prop 22: Other laws being considered to protect rights of workers

Prop 22 is not the only law of this kind being discussed at the moment.

Beyond Prop 22: Other laws being considered to protect rights of workers

California's Prop 22, also referred to as the "App-Based Drivers as Contractors and Labor Policies Initiative," reclassified app-based transportation and delivery drivers from employees to independent contractors, eliminating the requirement for companies like Uber and Lyft to provide traditional employee benefits. Prop 22 is not the only law of this kind being discussed at the moment. Other laws similar to Prop 22 that are currently being discussed include:

AB5 in California: AB5, which went into effect in January 2020, codifies the "ABC test" for determining whether a worker is an employee or independent contractor. This law affects a wide range of industries, including transportation, delivery, and gig economy companies.

Assembly Bill 1726 in California: This bill would change the definition of "employee" to include workers in the gig economy and would require companies to provide certain benefits and protections to these workers.

Assembly Bill 2765 in California: This bill would require companies to provide certain benefits and protections to gig economy workers, including minimum wage, overtime pay, and workers' compensation.

AB 2257 in California: This bill seeks to provide certain benefits and protections to gig economy workers, including minimum wage, overtime pay, and workers compensation.

Senate Bill 1881 in Illinois: This bill would establish a new classification for gig economy workers, known as "dependent contractors," and would require companies to provide certain benefits and protections to these workers.

These laws similar to Prop 22, like AB5, AB1726, AB2765, AB2257 and Senate Bill 1881, are being discussed and proposed in different states and they may have significant implications for how companies in different industries must provide compensation and benefits to their workers. Business owners should stay informed about these laws and their potential impact on their operations.

Equally importantly, staying up to date with these laws and regulations will require a significant amount of automation in payroll for companies, unless they want to spend all their time in excel sheets. Automation can help businesses save time and money by reducing the need for manual effort and minimizing errors, while ensuring compliance with the laws and regulations. Automation will also help companies to stay informed about any changes or updates to the laws and regulations that may affect their operations.