SACRAMENTO – Assemblyman Kevin Kiley (R-Rocklin) announced a new bill, AB 2075, to provide a Grace Period for AB 5 compliance through the rest of 2020.
“This modest relief provides breathing room while changes to AB 5 are being worked out,” Kiley said.
At least 34 bills proposing changes to AB 5 have been introduced by legislators of both parties this year. That includes a bill from the author of AB 5, Assemblywoman Lorena Gonzalez, proposing major changes.
Under AB 2075, hiring entities would still be subject to liability for employee misclassification in 2020, but would not face liability under the new ABC Test—adopted in AB 5 and the Dynamex decision—until 2021. This minimal relief has been requested by countless businesses and independent contractors who are currently navigating how to comply with AB 5.
The nonpartisan Legislative Analyst’s Office has estimated that AB 5 affects 1 million Californians. For a sampling of these effects, see the book of AB Stories compiled by Assemblyman Kiley’s office in January. On January 28, a Rally to Repeal AB 5 drew to the State Capitol between 300 and 350 people, as estimated by independent press reports.
“Every day we wait to take action, more Californians are losing their livelihoods as the result of AB 5,” Kiley said.
Assemblyman Kevin Kiley represents the 6th Assembly District, which includes the Sacramento, Placer, and El Dorado County communities of Cameron Park, El Dorado Hills, Fair Oaks, Folsom, Granite Bay, Lincoln, Loomis, Orangevale, Penryn, Rocklin, Roseville, and Sheridan.