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California imposes a legal standard called the “ABC” test, which not all States apply. “States will vary on exactly what parts of the test they apply and when
by zaroth 6y ago
California imposes a legal standard called the “ABC” test, which not all States apply.
“States will vary on exactly what parts of the test they apply and when they apply the test to workers. In September 2019, California put into place Assembly Bill 5, which found that a worker could only be an independent contractor if they met each of these three factors...”
https://www.thebalancesmb.com/what-is-the-abc-test-for-independent-contractors-4586615 https://www.thebalancesmb.com/what-is-the-abc-test-for-indep...
1) The worker is free from the control and direction of the hiring entity in connection with the work's performance, both under the contract for the performance of the work and in fact.
2) The worker performs work that is outside the usual course of the hiring entity's business.
3) The worker is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed.
IANAL but this ABC test reads to me as markedly different from the typical IRS “balance of factors” tests and significantly narrows the scope of “independent contractor”.