The Santa Clara California Jury Instruction 10.10.3 deals with the classification of individuals as either employees or self-employed independent contractors. This instruction is crucial in employment cases where the distinction between these two categories is essential for determining various legal rights and obligations. Employee vs. self-employed independent contractor classification plays a significant role in multiple areas, including employment benefits, taxation, workers' compensation, and liability. In Santa Clara, California, this jury instruction provides guidance to members of a jury when deliberating on a case where this classification is at issue. When analyzing whether someone is an employee or a self-employed independent contractor, several factors come into play. These factors might include the degree of control the employer exercises over the worker, the worker's independence, the nature of the work performed, the method of payment, and the parties' intent regarding the employment relationship. The Santa Clara California Jury Instruction 10.10.3 emphasizes the importance of considering all relevant factors in light of the specific circumstances of each case. It guides the jury on how to evaluate evidence and apply the law to effectively determine whether an individual should be classified as an employee or a self-employed independent contractor. Different types or variations of Santa Clara California Jury Instruction 10.10.3 Employee vs. Self-Employed Independent Contractor might include specific instructions for different industries or professions. For instance, there may be variations regarding the application of this instruction to construction workers, healthcare professionals, or technology consultants. Each variation would address the unique characteristics and considerations specific to those fields while still following the overarching principles and objective of the jury instruction.
Santa Clara California Jury Instruction - 10.10.3 Employee vs. Self-Employed Independent Contractor
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Prop 22 was a ballot measure that passed on November 3, 2020. It declares that app-based transportation companies, such as rideshare (i.e. Uber and Lyft) and food delivery companies (i.e. Grubhub), are exempt from AB5 and its drivers are classified as independent contractors.
Key takeaway: Independent contractors are not employed by the company they contract with; they are independent as long as they provide the service or product agreed to. Employees are longer-term, on the company's payroll, and generally not hired for one specific project.
States applying some version of the ABC test include California, Connecticut, Delaware, Illinois, Indiana, Massachusetts, Nebraska, Nevada, New Hampshire, New Jersey, Vermont, Washington, and West Virginia.
Independent contractors are not entitled to overtime pay and may often work long hours without extra compensation. All employees in California are entitled to earn at least minimum wage. As of 2020, California's statewide minimum wage is $12.00 per hour for employers with 25 or fewer employees.
California Assembly Bill 5 (AB5), popularly known as the gig worker bill, is a piece of legislation that went into effect on Jan. 1, 2020, and required companies that hire independent contractors to reclassify them as employees.
Gavin Newsom signed new state legislation, Assembly Bill 5 (AB5), into law. Effective January 1, 2020, AB5 affects independent contractors throughout California, radically changing 30 years of worker classification and reclassifying millions as employees.
An individual is an independent contractor in California only if they meet all three (3) requirements of the test: The worker remains free from managerial direction and control related to the worker's performance. The worker performs duties outside the scope of the company's course of business.
Independent contractors are not covered by California's overtime and other wage and hour laws. However, employers cannot get around California wage and hour laws by simply declaring that an employee is an independent contractor, or by making the employee sign an agreement stating that s/he is an independent contractor.