According to CCJ, “The legislation would, in effect, bar companies from hiring independent contractors to perform tasks that are part of the business’ core function. For trucking, this means motor carriers would be blocked from leasing with owner-operators as independent contractors — a prevalent model within the industry.”

Read the full article at ccjdigital.com

 

Our Observations

“The captive can be a competitive advantage to transfer the cost of making owner operators employees and obtain premium savings through the captive model.”

– DeAnna Buck, Captive Power Broker

 

“The method by which the state will enforce this is yet to be determined. All you can do is create separation from independent businesses contractually and through proper processes. This takes collaboration with your lawyer and your insurance consultant.”

– Maron Impagliazzo, Transportation Power Broker

Sign up for our Transportation Tuesdays Email Series

A series of insights covering the latest issues and regulations impacting the Transportation and Logistics industry

DeAnnaBuck-ContactTile
DeAnna Buck

Captive Power Broker - Fresno, CA

MaronImpagliazzo-ContactTile
Maron Impagliazzo

Transportation Power Broker - San Ramon, CA