As California AB 5 made clear, state-level changes to independent contractor (IC) status can significantly change the business operations of a motor carrier in any given state and can have a domino effect on operations even beyond the borders of that state.

The Firm’s IC legislative counsel practice – led by Greg Feary, Shannon Cohen, and Prasad Sharma – regularly assists clients, state associations, industry associations, and coalitions with monitoring recent legislative activity that could impact IC status;  evaluating the potential impact of such legislation; providing technical drafting revisions and talking points to support favorable legislation; and to oppose or mitigate unfavorable legislation.

IC legislation is introduced in multiple states every legislative session and may impact the test used to determine whether all workers are ICs or may be limited to the IC status of owner-operator drivers. No matter which type of IC legislation is under consideration, legislators and their staff often benefit from receiving real-world perspectives from transportation industry leaders. These interactions provide lawmakers with a more complete understanding of how such legislation may impact the transportation industry in their district and beyond, and what aspects of the transportation industry may operate differently than a typical business utilizing ICs. Policymakers further benefit from seeing specific language that can address the industry’s needs, including talking points that summarize the issues for other legislators and stakeholders.