SUPPORT OUR UNDER-EMPLOYED AND LOCAL SMALL BUSINESSES
Modify or Repeal AB5 and support small local business
As Supervisor, i will ensure improved work conditions and wages for those in the gig economy by:
- Pushing for independent contractor status for gigs of 12 months or less;
- Proposing a minimum $25-$35/hour income for gigs, including rideshare drivers. See mid-range private sector workers hourly rate: Bureau of Labor Statistics.
- Proposing the regulation of rideshare surge pricing to insure accuracy of driver’s take-home pay; and
- Proposing greater rideshare usage in more remote areas of the county to improve incomes for drivers in those areas.
I believe gig workers benefit from remaining independent contractors. From both a tax and professional development standpoint, gig workers are able to keep more money in their pockets through business expense deductions, set their own fees, work when or where they want, select the customers/clients they prefer, and have greater options in quality healthcare. The key is educating gig workers in how to maximize these benefits through courses in entrepreneurship.
From a small business perspective, keeping workers classified as independent contractors allows these businesses to keep their doors open by limiting and controlling their over-head while simultaneously engaging happy contractors with flexible and potentially-good pay. In short, it prevents a full-scale "retail apocalypse." As it stands, there are so few local decent paying jobs in in Los Angeles County that residents have been forced to drive Uber/Lyft as a way to make ends meet. If main street goes, so does the County.
Generally, employees, unless they are paid well, are worse off than gig workers because employees have no business write-offs, are subjected to little control over their wages and often have no benefits for the first 90 days, after which time, employers often fire the employee to find more/cheaper laborers.
Accordingly, my opinion regarding AB5 is nuanced:
- I do not support as it relates to small businesses hiring professionals, such massage therapists, document reviewers, UBER/LYFT drivers, photographers, journalists, skilled entertainment industry workers, etc. AB5 places a heavy burden on these mom and pop businesses and would simply speed up the destruction of main street. The converse is true for big business.
- I believe large and/or wealthy employers should see AB5 as a challenge to reform how they do business so that these professionals may remain classified as independent contractors, or, in the case of document reviewers, become classified as independent contractors.
- I support AB5 as it relates to unskilled and non-professional laborers working for large and/or wealthy companies.