California Bans IC's

The carrier I am leased to is based in Ca. Our owner ops were directed to a California trucking association site to give our input to Ca about this. I realize it is possible to overturn or work around the ruling, but it is an attempt to do away with or limit those of us contracted to a carrier. They may have been specifically targeting those who are paid 1099 and driving someone else’s truck, but those of us who own our rigs and are leased to a carrier may possibly be effected if the ruling stands. I believe that with some changes it could leave us alone, but who knows when Ca is involved. Maybe the carriers with owner ops can domicile them in another state under a sister company or something similar. My rig never sees California so I am not as concerned, but I am happy with my carrier and don’t wish to change.

The article I posted isn’t terribly clear, but it should point you in the right direction.

 

California only, can't make or force companies outside the state to do this.

 

I know a Swift "renter" that does Target in CA. He was told he either has to turn in his truck and drive company or he has to go to another terminal outside of CA because of this ruling. And can't do Target in CA.

 

Wow, I read that article and I see what you mean. Thank you for sending me in that direction. Here's an easier link in case anyone else wants to read it:
How Recent Changes In The Independent Contractors Law Can Impact Workers Comp In California

Now Owner Op's are a totally different animal and I hate to see folks like you get rounded up in legislation or court rulings intended to fix a very different problem.

Well, it's certainly a complex issue. And while this ruling is out of Cali, ( @Ridgeline too) the article states that NJ, IL and Mass have similar rulings either newly on the books or in the pipeline - and a snowball of other states is likely to follow.

 

It's all Uber's fault, ya know, lol.

When they first showed up I thought they were a cool, innovative company.

Now I just think they're an all round pain in the ###.

 

Western Express is the best

 

So if I am understanding this correctly, true owner operators can work in California, but lease operators or company drivers on 1099 cannot.

 

From what I been told and read (take this part with a grain of salt) as it is early in the process. The ruling wouldn’t allow any owner ops either without some work rule modifications. I believe something will be worked out, but I do not work in Ca. I choose to run a Ca plate leased on with a Ca based carrier but I can change either, however I don’t plan to.

 

In short, the state’s Supreme Court said in the Dynamex vs. Superior Court decision that state law favors employee status over independent contractor status, pressing upon employers a so-called ABC test for determining whether a worker is an independent contractor or a company employee. If employers exert a high degree of control over the type and manner of work performed, the worker should be classified as an employee, the court ruled.

Rajkovacz told Overdrive in July the ruling “effectively eliminates the use of owner-operators, even one-truck motor carriers, from the trucking marketplace.” He said federal law conflicts with the court’s ruling, and that federal laws supersede those at the state level.

Truckers, contractors to rally Wednesday at Calif. Capitol to urge for legislative protection for independents