Still a Chunky Stew: California’s ABC Test Survives Supreme Court Challenge

The song “Rock & Roll Stew” was released by Traffic as a single, off its excellent 1971 album, The Low Spark of High Heeled Boys. The stew is a reference to the messy life of playing gigs in clubs around the world. (This stew, of course, refers to the meal, not the anthropomorphic similar-sounding Stu, as referenced in Led Zeppelin’s “Boogie with Stu,” with this Stu being a real person, namely Ian Stewart, who was the Rolling Stones’ road manager and piano player and who sat at the keyboard one day to help Jimmy Page tune his guitar, a collaboration that resulted in this mostly improvised song, which is catchy and fun.)

Stew, according to allrecipes.com, is like a soup but chunkier. When making a stew, you can toss in meats and vegetables and whatever else you’re trying to get rid of in your refrigerator to make room before you go to Costco.

A messy chunky stew also seems like a good description of California’s ABC Test, which seems straightforward enough at first but, in reality, is chock full of meaty exceptions, most of which seem completely arbitrary.

The exceptions to the ABC Test are laid out in California Labor Code sections 2776 through 2785. The structure of the California law goes basically like this: When determining if someone is an employee or an independent contractor, use the ABC Test except in a whole bunch of situations or professions or circumstances, in which you would not use the ABC Test. There are dozens and dozens of exceptions to the ABC Test, and you just about need a decision tree to figure them out. The lines that have been drawn to determine whether some of the exceptions apply can also be maddening to understand, and they too seem arbitrary.

In a case brought by Mobilize the Message LLC, some of these lines were challenged on the grounds that they violate the First Amendment.

More specifically, the argument was that the law creates two classes of canvassers and distributors of literature, with different outcomes depending on whether they are engaging in political speech. The law allows promoters of consumer goods and distributors of newspapers to be classified as independent contractors, but it subjects promoters of political campaigns to the ABC Test, making it much more likely that they would be deemed employees.

Mobilize the Message LLC argued that the law discriminated against political speech by imposing more substantial burdens on those who engage in it than those who do not.

In October 2022, the Ninth Circuit rejected the challenge, ruling that there was no First Amendment violation. The petitioner then sought review by the U.S. Supreme Court. But late last month, the Supreme Court declined to take the case.

That means the Ninth Circuit ruling will stand, and the ABC Test — with its arbitrary lines — lives another day, even if the law subjects workers engaging in political speech to a different set of rules.

The ABC Test remains a messy stew, chock full of meaty (and vegetable-y) exceptions. But businesses operating in California have no choice but to learn it and digest it, no matter how chunky and confusing the mystery meat may be.

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© 2023 Todd Lebowitz, posted on WhoIsMyEmployee.com, Exploring Issues of Independent Contractor Misclassification and Joint Employment. All rights reserved.

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