Posted on February 24th, 2020
Find below a complete transcript of this video.
What’s up fellow entrepreneurs? It’s John Fagerholm again.
Sorry for the setting. It looks like I’m an interrogation room, but I promise you I’m not.
It’s just a little blocked off cubicle area that I’m using as I’m visiting one of my clients.
So I figured I’d take a few minutes while I’m waiting to talk about AB5 again. I’ve been making several of these videos, but it just seems like daily there’s news about it.
And most of the news is about the big gig economy type of businesses like Uber, Lyft, Postmates, that sort of thing. And it looks like what they’ve decided to do is just raise a bunch of money.
From what I’ve read, it’s 100 million, to try to influence the legislature in California to exempt the gig economy from AB5.
However, that doesn’t help the rest of us.
So today I want to talk about an additional group, or I guess it’s two national groups that recently have come out and are filing lawsuits against California.
The last video I did, or a couple of videos ago, it was about the Truck Drivers Association.
Well now it looks like two national groups representing freelance writers and photographers filed suit saying that this new AB5 is just too broad and arbitrary as related to photographers and freelance writers.
So let me get specific here about what they’re talking about. Hold on one second. All right. So basically, the law for … I’m sorry, I’m just having a computer meltdown for a second.
Yeah. So as the law relates to freelance photographers and writers, is the law establishes a limit for the number of submissions to 35.
And so this group is saying that that’s arbitrary, number one. Affects the livelihood of these freelancers.
I agree with that. And number two, well number three, there’s also more scrutiny whenever you pass a law that affects the press.
So we’ll see what happens with this particular lawsuit. Who knows, maybe there’ll be a temporary restraining order.
Maybe they’ll figure something out to exempt freelance writers and photographers. But I do agree with them how arbitrary is 35. Why 35 submissions?
Anyway, so I’ll keep doing videos about AB5 until all of this shakes out. It went into effect January 1, and there’s going to be a lot of businesses affected by this. Gyms.
I’m just trying to think of … Anyone that has a separate business and they’re providing a service even to another business, is going to come under scrutiny with this law. Sure, there’s exemptions for it, but still, at the end of the day, this affects a lot of businesses.
So be careful if you are a business in California and you are using independent contractors.
Until next time, be productive.
