Governor Newsom and Democrat Lawmakers Have Only Themselves to Blame for AB 5 Catastrophe

Hundreds of Thousands of Workers Have Been Left in Limbo
Thursday, August 20, 2020

Following Sacramento politicians’ mandate to do away with independent business contracts as dictated by Assembly Bill 5, many businesses and professionals fought for exemptions. Ridesharing companies, Uber and Lyft, the main targets of labor unions and Democrat lawmakers, were not successful in their efforts resulting in a roller coaster ride in the courts.

“This is a complete and utter catastrophe,” said Senator Jim Nielsen (R-Tehama). “Hundreds of thousands of Californians have been sitting on pins and needles waiting for various court decisions. They fear facing a dismal job market that has resulted from haphazard COVID-19 shutdowns.”

Last week, Uber and Lyft were ordered by a judge to classify their drivers as employees, as dictated by Assembly Bill 5. Company officials warned they would have to shut down to comply with the order.

These two companies have become an integral part of residents’ daily lives. Drivers like these independent contractor jobs for their flexible hours and the additional income they provide.

Millions of Californians depend on this service to go to the doctor, to get food, and countless other critical needs - especially important while food and other services are limping along, relegated to providing only delivery service.

“California is facing a deep recession. Sacramento Democrats’ actions ensure that the state continues to be hostile to employers and promotes their exodus, leaving the people of this increasingly unaffordable state without jobs,” added Senator Nielsen.