California AB5

California AB5 is a law that aims to classify workers more like employees rather than independent contractors, especially in the gig economy. It uses a three-part test called the ABC test to determine if a worker should be considered an employee, granting them benefits and protections. The law affects industries like ride-sharing, freelance work, and other gig jobs, requiring companies to provide benefits, minimum wages, and protections if workers meet the test’s criteria. AB5 seeks to improve worker rights and reduce misclassification, but it has also faced criticism from businesses and gig workers concerned about flexibility and employment costs.