January 1, California Law Crushes Independent Workers Nationwide

Wyatt’s Take

• California’s AB 5 handcuffs millions of independent workers, setting off a warning for the rest of the country.
• Attempts to fix the law fell short, leaving many job creators and freelancers out in the cold.
• There’s a troubling push to take these damaging rules national, threatening American independence and livelihood.

Six years after California passed AB 5, it’s gotten harder for millions of independent professionals to make a living on their terms. This law, aimed at big gig companies, ended up hurting everyone from musicians and writers to nurses and tutors.

After harsh backlash, some professions got exemptions, but only after jumping through hoops. Voters tried to help app-based drivers, but the struggle for others is far from over.

“Nothing bugs me more than when I see written that, ‘AB5 was so bad that they had to pass an emergency bill to exempt a hundred professions,’ [then] people think, ‘Oh, problem solved.’ No, the problem is not solved,” said Karen Anderson, founder of Freelancers Against AB5.

After AB 5, companies quit hiring California contractors, shutting people out of opportunities. The pandemic and draconian lockdowns made things worse, forcing many to leave the state in search of honest work and respect for small business.

Research shows AB 5 caused a drop in both self-employment and regular jobs. “This progressive government we have here in California is really destroying all of our businesses. And that’s the sad part about it, because they absolutely have made California not business-friendly,” said Linda “Pinky” George, an independent singer and advocate.

Public comments on copycat laws in New Jersey have ended. Critics say these rules would strip away worker freedom, especially for women and families who need flexibility.

“The real monster is the PRO Act and rules made by the Federal Department of Labor. It’s all been a sword of Damocles waiting to sever the very head of the concept of an independent workforce,” explained musician Aaron Gayden.

Federal officials are now asking small businesses to weigh in on state laws that hurt the economy. People in California know firsthand: these rules don’t help workers, they run them out of work instead.

“There’s no silver lining here in California, we’re just seemingly stuck with it,” Anderson said. “But we can be the ones that share the cautionary tale to prevent it from metastasizing to other states.”

Don’t let these anti-freedom laws show up on your doorstep. Stand up for independent workers now.

Wyatt Matters

Burdensome laws like AB 5 clash with the spirit of hard work and self-reliance that built the heartland. When government picks winners and losers, small businesses and working families suffer most.

Read more here