As we previously reported, the California Supreme Court’s landmark decision in Dynamex Operations West, Inc. v. Superior Court adopted a new worker-friendly standard for determining whether workers are properly classified as employees or independent contractors. On May 2, 2019, the Ninth Circuit expanded the effect of the decision in Vazquez v. Jan-Pro Franchising International, Inc. However, the US Department of Labor and the National Labor Relations Board, applying a less stringent standard, recently found workers in the gig economy to have been properly classified as independent contractors. This Legal Update provides details on the Vazquez decision and the federal opinions and takeaways for employers in light of the conflicting standards.
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