Will Califonias new AB5 law

I understand O/O's are essentially being run out of California on a rail with this AB5.

When the smoke clears and reality settles in post 2020 we will see which way it went.

 

haven't heard a word. I don't run to Cali....furthest West I've ever been is Utah and Arizona. But, I think that if this was indeed the case, they would have told all of us.
Perhaps it only affects those domiciled in Cali. Which would be reason #212 to leave.

 

It’s almost a double edged sword in a sense that the government believes leased O/Os will benefit from minimum wage, overtime, unemployment, sick leave, and other benefits (We would!!) At the same time the state is benefiting off payroll taxes. Problem is carriers either can’t afford this, will refuse this, or some can comply and maybe it would start a trend and change the industry for good. (Just kidding about the last part but in a fantasy world, sure why not?).

Realistically it will be the carriers these O/Os are leased too that run them out. Not necessarily the law its self. One way to look at it at least.

 

maybe it's like us and Canada....one in,one out. No interstate.

 

Spoke to a chiro who does DOT physicals and her main office is adjacent to the main office for Western States Trucking Association and she told me AB5 is a done deal, I should prepare for losing my lease op gig since I'm a California driver. She said WSTA has dropped its lawsuit against the AB5 law and many other trucking associations have done so as well so they don't waste a bunch of money on lawyers just to lose. OOIDA hasn't even brought a lawsuit, they just say they are waiting and seeing.

Meanwhile right before Christmas my company wanted me to run a load out to Texas and they promised to get me back. I asked about AB5 and the dispatcher said it was tied up in courts and was going to lose and it would be business as usual for lease ops in Cali.

I tend to believe someone who hears the real dope around the water cooler over at WSTA.

 

I understand California drivers can deliver loads in Cali but cannot pick up in Cali. Since my company contractually has to pay me deadhead miles, they are not going to be too happy to pay me to pick up in the next state over.

Landstar surprised me with their terminating Cali based drivers because they don't even get deadhead pay.

Long story short, I'm home looking for a new local home every night gig paying $100k until we know more about AB5 in the new year.

 

Prime has told its lease ops they can either move out of California or become company drivers.

Landstar has told O/O to move out or contract will be ended.