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California AB5 Update Status of Independent Contractors - YouTube
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[Music]
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hello everyone and welcome to another
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episode of coffee with carl i am your
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host carl zellner one of the attorneys
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here with anderson business advisors uh
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and today i want to talk about
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california specific topic
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which is our friend here ab5
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ab5 is a piece of legislature that was
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passed that
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how to say this
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how to say this politically correct uh
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it sort of attacks
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gig workers for companies such as uber
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lyft doordash
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those type of companies
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what it does is it reclassifies
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independent contractors as employees
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and creates some additional burden on
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those companies that use those gig
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workers for service
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there has been several updates and
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exemptions since ab5 has come out
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most recently there were the most recent
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update was on september 4th of 2020
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which
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now added a long list of exemptions
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for different types of job categories so
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you may fall depending on who you are
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and what you're listening to here
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you may fall into that long list of
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exemptions
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however
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uber lyft and doordash drivers uh those
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sort of gig economy folks have not yet
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been exempted uh so this is more of an
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update here there is right now in
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california um
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proposition 22 which would work to
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exempt those type of drivers but it has
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not yet passed and we don't know if it
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will pass so it's one of those let's see
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i believe the technical numbers ab2257
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or proposition 22
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so that would create even more classes
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of exemptions so i know a lot of our
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clients and a lot of clients in
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california have run into ab5 issues so
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that's why i want to address this today
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because like i say it basically
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changes independent contractor work into
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employee or w-2 work
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which creates some additional burdens on
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employers so it's affected a lot of
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folks in california so i want to give a
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little bit of an update there is a new
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list of exemptions a long list of job
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category exemptions so if you've been
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struggling with this
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probably pays to look or you can call us
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and we'll take a look for you
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so ab5 we're keeping an eye on it
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hopefully
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all my gig workers my uber lyft doordash
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folks
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hopefully this will be something of the
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past because otherwise i think there's
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going to be continue to be the mass
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exodus from california so
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that's it for this episode of coffee
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with carl i don't plan to go into the
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three-prong test or any of those items
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at this point
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for the most part anybody who is
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independent contractor or gig worker
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knows they've been sort of hosed by ab5
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so really the relevant pieces that are
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left are to see which exemptions sort of
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finally shake out of this thing so that
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everybody can get back to normal so
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until next time
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this is carl zellner with anderson
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business advisors i encourage you to
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take
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advantage of all of our free content um
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if you're not a client yet we would love
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to give you a free consultation to let
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you know our thoughts on different
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business planning asset protection
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strategies as well as tax advantage
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planning strategies so
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until next time like i said this is carl
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zellner one of the attorneys with
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anderson business advisors and please
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continue to take advantage of all of our
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free content and if you're not a client
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let's set up a consult thanks bye
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