Santa Cruz SBDCAptos, CA

Surprise...Surprise

 

The legislature in Sacramento is on summer break and still NO CLEAR GUIDELINES about the status of the Independent Contractor situation.

For those of us that were hoping for some kind of decision regarding the use of Independent Contractors from Sacramento before their summer break…..we will have to wait until later this year.  What does that mean to you? It means that right now as I am typing this message the law of the land in California is the ABC test.  Just to refresh your memory, last year the California Supreme Court in a decision known as “Dynamex “ changed the way we make the decision if someone is an Independent Contractor or an employee by creating a new way of making that determination.   

The California Supreme Court set out a three-part standard, called the ABC test that says a worker is an independent contractor only if ALL of the following apply:  

  • Control:  The Company hiring the worker does not direct how the work is performed and
  • Scope: The work is in a field different from the hiring company’s business and
  • Independence: The worker runs a business doing the same kind of work performed for the hiring company.

To add to the concerns about the courts ruling that created the ABC test, the added concern is the fact that the U.S. 9th Circuit Court of Appeals determined the standards outlined by the California Court could be applied retroactively.   For this reason alone, if you employee Independent Contractors it is strongly recommended you review your situation with your Labor Attorney. 

 

Joy Halloff joined the ranks of the "consultant" world after thirty years of experience in the Human Resource field in companies such as ITT, Raytheon, Gillette, Oral-B Laboratories, Quintron Systems, Remedy, Pacific IBM EFCU and William Wilson & Assoc.  While with a division of Gillette, Joy gained international human resource experience, with responsibility for operations in 28 different countries.

Her training "passion" facilitated her being involved in two delegations that provided training/management information in Russia, the Czech Republic, Poland, and a management seminar in Romania.  Generalist knowledge of Human Resources led her to be the first Chairperson for EDD’s Employer Advisory Group and the Chair of the first ever California Employer Advisory Group statewide conference.  She helped found a real estate oriented HR group called REELE in the San Francisco area to facilitate HR professionals serving the Real Estate Industry. 

Joy holds a B.A. degree from Chapman College and completed the Masters study in Human Resources/Organizational Development at the University of San Francisco. 

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Funded in part through a cooperative agreement with the U.S. Small Business Administration. All opinions, conclusions or recommendations expressed are those of the author(s) and do not necessarily reflect the views of the SBA or HSU Sponsored Programs Foundation.