This month we bring you the latest news on employment and payroll law from August of 2022. Get caught up on the most recent changes in legislation, as well as updates on misclassification cases & law developments that could impact your business.
Compliance with AB5: Millions in Backpay as Universal Logistics Settles Worker Misclassification Claims
Universal Logistics has agreed to reopen one of it’s closed locations in California and pay millions of dollars in back wages. Universal has agreed to no longer misclassify drivers as independent contractors, bringing them into compliance with California’s AB5. This decision comes after the Supreme Court denied challenges to the recent law which classifies certain independent contractors as employees.
Read the full story from Transport Dive.
Penalties Issued: Misclassification of Farmworkers by California Employer
Labor officials in California have levied civil penalties against an employer that misclassified a group of farmworkers as independent contractors. Labor experts believe the court’s decision could have a major influence on the agricultural industry. “Farmworkers said that, as a result of the misclassification, they faced challenges with everyday needs, such as taxes, proof of medical insurance, or proving Medi-Cal eligibility for their children…”
Read the full story from The Fresno Bee.
Trucker Misclassification Lawsuit Revived by Court Ruling
A case is returning to the district court because “district court erred by allowing the terms of the trucking company’s contract to be the deciding factor.” This case is coming back to one of the most notable classification points: the economic reality of control over the work.
Read the full story from Land Line.
