California’s still working on destroying the gig economy in the name of guaranteeing the workers’ rights.
According to Fox Business, “A California law scheduled to take effect in January will reclassify many independent contractors as employees, and that could strip truck drivers in the state of some of their best-paying opportunities, experts warn.
“The sweeping law is intended to prevent workers from being wrongly classified as independent contractors, and deprived of basic labor protections as a result. It has, however, led to disastrous consequences in some cases.
“The California Trucking Association filed a lawsuit to prevent the measure from being implemented earlier this month because the law would seriously restrict the activities of independent owner-operators.
“An owner-operator is someone who essentially runs a trucking business. They provide and maintain their own trucks, pay for their own fuel and often have their own drivers. Those features allow them to take home a larger chunk of pay, by a percentage of the haul. They often also make their own schedules, enjoying more freedom and flexibility.”
The industry relies on these independent contractors. About 30% of the drivers are independent. It enables them to make a better living.
According to the job search website Indeed, the average annual salary for an owner-operator driver is $222,608. The median salary for a truck driver is $43,680 per year, according to the Bureau of Labor Statistics.
They are essentially left with three options, either leave California to drive elsewhere, become employee drivers or abandon the industry altogether.
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The other option would be to get insurance and operating authority, which can be very difficult, especially for small businesses.
California — destroying success and controlling things that don’t need controlling because they don’t like freedom. Success and freedom are not on the agenda.
Hopefully, as the population of California slowly emmigrates to other states, they don’t bring these broken thought processes with them.
Could’ve seen this one coming a while back. Commefornia is running out of money and needs to look at more ways of filling the dems coffers.
Not being of sound minds, they are destroying the state with those new ways. Almost like they are encouraging businesses to leave the state for greener pastures.
When will the hard-working, tax paying legal citizens have had enough of the leftist socialist Sacramento blood suckers?
Just sayin’.
The $222,608 figure is grossly misstated. That would be Gross REVENUE, not earnings.
ALL expenses would have to come out of that, first, before you could even attempt to state an earnings figure.
This is the absolute despotism that Jefferson wrote about in the Declaration of Independence. And he had a radical solution to the problem.
“But when a long train of abuses and usurpations, pursuing invariably the same Object evinces a design to reduce them under absolute Despotism, it is their right, it is their duty, to throw off such Government, and to provide new Guards for their future security.”
—Thomas Jefferson
Please, do you know many workers are screwed out of workers comp, unemployment benefits and other benefits that W-2 workers enjoy?
It’s not just about truckers, it’s about IT workers that are screwed out of millions of dollars in revenue because bogus contracts. How many more trillions of dollars in IT revenue do you want to send to India and China?
I’ve been one of those misclassified workers its been a major screw job.
This will do NOTHING to address your complaint, and WILL drive more tech and support operations completely out of the state. Along with the truckers. Tens of thousands of small businesses that get contracts with bigger companjes or governments will no longer be able to operate.
They are doing much the same hers in Oregon. My wife has been a contractor for over 20 years. But under the NEW definition, she couldn’t even BID as a contractor any more. And no, the government agency had to contract with a large, statewide agency that provides “temp employees” that aren’t consistent, don’t know what they are doing, and cost 3 times as much.
Progress.
Meanwhile my wife is out a nice income and the local deputies are NOT happy with the status quo.