CHA News

New Labor Law Necessitates Review of Employment Classification

For CEOs, human resources executives

CHA has provided member hospitals with important information about a new test for determining whether a worker is properly classified as an independent contractor or should be treated as an employee. Assembly Bill (AB) 5 has been signed into law by Gov. Newsom and takes effect Jan. 1 2020, posing greater challenges for hospitals in ensuring they comply with California’s labor laws. 

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