Bassett Salon Solutions | Classifying Salon Workers with the "ABC Test"
In their opinion of the Dynamex Operations West, Inc. v. Superior Court of Los Angeles, issued late April of this year, the California Supreme Court adopted a new test to determine whether a worker qualifies as an independent contractor or an employee as it pertains to wage and hour claims arising under the Industrial Welfare Commission (IWC) wage orders. This new test, which replaced the 30-year-old "Borello" test, creates a much more difficult burden for businesses to overcome the presumption that a worker is an employee of a company.
The Dynamex decision marks a big shift for employers all over the state to take into consideration--including salon owners, who may be concerned about how to categorize the professionals who rent a booth at their place of business. With over 20,000 booth renter salons in the state, this has become a widespread issue.
Join attorney Jonathan Judge as he helps to clarify this important issue of classifying employees into three categories: Employee, Independent Contractor, and Booth Renter.