Punching In: Worker Classification Tests’ Economic Effect Mixed

Monday morning musings for workplace watchers.

New Worker Classification Research|Union Membership Stats Coming

Rebecca Rainey: California’s strict worker classification law—known as AB5—resulted in a 4% decline in employment in the state, a new paper from the Mercatus Center at George Mason University found.

Researchers Liya Palagashvili, Paola Suarez, Christopher Kaiser, and Vitor Melo estimate that self-employment in California fell by 10.5% on average, while overall employment fell by 4.4% on average, comparing California’s rates before and after the implementation of AB5 to other states with less stringent worker classification rules.

“Our findings suggest that ...