DEMOCRATIC PARTY PLATFORM SUPPORTS USE OF ABC TEST FOR IC STATUS.

Wayne Schooling • September 18, 2024

‎The Democratic Party Platform approved on August 18, 2024 briefly addressed the ‎issue of independent contractor misclassification, stating on page 15 of its 91-page document as ‎follows: “Democrats believe employees who are being misclassified, including gig and platform ‎workers, deserve wage and workplace protections including minimum wage and overtime pay, ‎and we support using the ABC test to determine employee status.”

A yellow semi truck is parked on the side of the road

Notably, that passage does ‎not refer to the type of ABC test the Democratic Party supports: the standard one that is used in ‎about 20 states, mostly in unemployment and workers’ compensation statutes, or the so-called ‎AB5 version in California that is far stricter than almost all other states’ ABC test for IC ‎status.

However, on page 14 of the Platform, it states, “Democrats will ‎prioritize passing the PRO Act and restoring workers’ rights, including the right to launch ‎secondary boycotts.”

The PRO Act includes a version of the ABC test that is akin to ‎the AB5 test in California and Massachusetts, without any of the about 75 exemptions that ‎California included in its version of the ABC test.

Thus, if Democrats sweep both houses of ‎Congress and the White House, there is a chance that the PRO Act’s strict ABC test for IC ‎status could become law.

In that event, litigation asserting that workers have been misclassified is ‎likely to increase dramatically, prompting even more companies to use an IC compliance ‎enhancement process such as IC Diagnostics (TM) in an effort to increase their chances of ‎prevailing in an IC misclassification legal challenge.‎

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