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SB-805 Independent contractors: small nonprofit performing arts organizations.(2021-2022)

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Date Published: 02/20/2021 04:00 AM
SB805:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2021–2022 REGULAR SESSION

Senate Bill
No. 805


Introduced by Senator Rubio
(Principal coauthor: Senator Allen)

February 19, 2021


An act relating to employment.


LEGISLATIVE COUNSEL'S DIGEST


SB 805, as introduced, Rubio. Independent contractors: small nonprofit performing arts organizations.
Existing law charges the Labor Commissioner with the enforcement of labor laws, including worker classification. Existing law requires a 3-part test, commonly known as the “ABC” test, to determine if workers are employees or independent contractors for purposes of the Labor Code, the Unemployment Insurance Code, and the wage orders of the Industrial Welfare Commission. Under the ABC test, a person providing labor or services for remuneration is considered an employee rather than an independent contractor unless the hiring entity demonstrates that the person is free from the control and direction of the hiring entity in connection with the performance of the work, the person performs work that is outside the usual course of the hiring entity’s business, and the person is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed. Existing law exempts specified occupations and business relationships from the application of these provisions and provides, instead, that these occupations and business relationships are governed by an alternate test.
This bill would state the intent of the Legislature to enact legislation that would permit small nonprofit performing arts organizations to pay production artists as independent contractors under certain circumstances, while still providing workers’ compensation insurance and also not limiting any organization’s ability to hire workers under a union contract.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 It is the intent of the Legislature to enact legislation that would permit small nonprofit performing arts organizations to pay production artists as independent contractors under certain circumstances, while still providing workers’ compensation insurance and also not limiting any organization’s ability to hire workers under a union contract.