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Dynamex Operations West, Inc. v. Superior Court

Articles Discussing Case:

The Implications of Dynamex Operations West v. Superior Court: California's Adoption of the ABC Test for Purposes of the Wage Orders

Littler Mendelson, P.C. • June 11, 2018
The California Supreme Court’s adoption of a strict ABC test for purposes of the wage orders is likely to cause significant problems for California businesses that use independent contractors. Of particular concern is the “B” prong of the test and the contours of the putative employer’s business. While at present the ABC test applies only to the wage orders, which means that only non-exempt employees are subject, businesses may find it difficult to implement the ABC test without implicating other aspects of the relationship, such as taxes or workers’ compensation, such that conversion for all purposes may be necessary. Nonetheless, there are many unresolved issues, and it remains to be seen how adoption of the ABC test will play out in California.

New Classification Test Announced for California Independent Contractors

Franczek Radelet P.C • May 02, 2018
On Monday, April 30, 2018, the California Supreme Court issued a landmark decision establishing the presumption that a worker is an employee in that state unless the employer meets a three-prong “ABC” test. The Court’s ruling in Dynamex v. Superior Court is a shift from the more flexible multi-factor test California courts have used since 1989, and now imposes an affirmative burden on businesses to prove that workers are properly classified as independent contractors.

Misclassification Doomsday in California: State Supreme Court Adopts Notorious “ABC” Test

Fisher Phillips • May 01, 2018
My colleague Ashton Riley described it as the “contractor apocalypse.” Yesterday the California Supreme Court issued its long-awaited decision in Dynamex Operations West, Inc. v. Superior Court, and, unfortunately, the wait wasn’t worth it. The state Supreme Court scrapped the flexible legal test used since 1989 to determine whether a worker was an independent contractor or employee and installed a rigid three-pronged test that will appear in the nightmares of your average gig economy business executives for the foreseeable future.

Contractor Apocalypse: California Supreme Court Adopts Broad New Misclassification Test

Fisher Phillips • May 01, 2018
In a groundbreaking decision, the California Supreme Court adopted a new legal standard today that will make it much more difficult for businesses to classify workers as independent contractors, drastically changing the legal landscape across the state. The decision will directly affect the trucking and transportation industry because the workers involved in the case were delivery drivers, but also has the potential to affect nearly every other industry—including the emerging gig economy. Specifically, the court adopted a new standard for determining whether a company “employs” or is the “employer” for purposes of the California Wage Orders.