Tag: AB5

Join Jim and Greg as they cheer much lower death rates from COVID-19 compared to the early days of the pandemic. They also sound the alarm that Democrats plan to kill right to work laws nationwide and crush the gig economy if they take full control in Washington. And they marvel at how activist Democrats have decided that Sen. Dianne Feinstein isn’t far left enough to lead the party on the Senate Judiciary Committee.

Join Jim and Greg as they wince over the news that coronavirus mutations could make the virus up to ten times more contagious. They also hammer Joe Biden for embracing a national version of California’s AB5, which crushes opportunities for freelance work and erodes the right to work without joining labor unions. And they shake their heads as President Trump decides to dredge up a fight with Bubba Wallace and NASCAR.

Editor at Large for Redstate.com and host of the “Just Listen to Yourself” podcast, Kira Davis, joins Carol Roth to talk about devastating legislation, including California’s AB5 and the proposed Federal HR2474, which is aimed at killing the gig economy. While 24.2 million small business owners in the US have no employees, government is working against them and the use of independent contractors, trying to control how and if you can work. Kira and Carol break down why this is happening and what you can do to help stop it. Plus, a “Now You Know” piece of trivia on George Washington’s manners.

Kira Davis is also a freelance opinion journalist, writer and budding filmmaker. Her short film ‘Minty’ – a reimagining of Harriet Tubman as an action hero – has been screened at the Toronto Black Film Festival and the Montreal Black Film Festival. She has interviewed President Obama and appeared on Fox News, the Blaze TV and the Dr. Phil Show among other places. She is also a regular guest host at KABC radio in Los Angles. Kira is a dog person but she has been known to tolerate cats from time to time.

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Hi everyone! I’m new here. I usually hang out on Twitter, but decided to check out Ricochet. I just wanted to share an article/video from Reason Magazine about California’s AB5 bill which restricts freelancers, including people like me. Writers can only write 35 articles a year per publication. It’s dystopian. California leads the way in […]

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The Decline of Unions Is Good News

 

The United States Department of Labor released a report last week that chronicled the continued decline of the American labor movement in 2019. In our boom economy, more than 2.1 million new jobs were added to the market last year, but the number of unionized workers fell by 170,000. The percentage of union workers, both public and private, fell from 10.5 percent to 10.3 percent, or roughly 14.6 million workers out of 141.7 million. The percentage of unionized workers dipped even lower in the private sector, from about 20 percent in 1983 to 6.2 percent of workers in 2019, a far cry from the 35 percent union membership high mark last seen in 1954. Decline was lower in the public sector, where just over one-third of workers are union members, as a modest increase in state government employees partially offset somewhat larger declines in federal and local unionized workers.

This continued trend has elicited howls of protest from union supporters who, of course, want to see an increase in union membership. It has also led several Democratic presidential candidates to make calls to reconfigure labor law. Bernie Sanders wants to double union membership and give federal workers the right to strike, as well as ban at-will contracts of employment, so that any dismissal could be subject to litigation under a “for cause” standard. Not to be outdone, Elizabeth Warren wants to make it illegal for firms to hire permanent replacements for striking workers. They are joined by Pete Buttigieg in demanding a change in federal labor law so that states may no longer pass right-to-work laws that insulate workers from the requirement to pay union dues in unionized firms. All of these new devices are proven job killers.

The arguments in favor of unions are also coming from some unexpected sources in academia, where a conservative case has been put forward on the ground that an increase in union membership is needed to combat job insecurity and economic inequality.

California Wrecks Its Gig-Economy

 

The economic law of unintended consequences should serve as a cautionary note for anyone wishing to enact lofty, far-reaching social legislation. The intended purpose of such legislation is typically laudable: It is often to protect disadvantaged groups unable to fend for themselves against potential exploiters. But such legislation backfires by ignoring its unintended consequences. No legislative initiative in the realm of economic and social relationships can advance the position of a protected class unless it also imposes costs on the groups with which it does business. Stressing the intended consequences ignores the countermeasures to which other groups will resort to minimize the impact of the legislation. In the end, by shrinking the economic pie, both sides are left worse off.

This proposition is particularly relevant in labor contracting, where the language of exploitation is never far from the lips of today’s most aggressive reformers. Exhibit A is the fighting words of Lorena Gonzalez, a progressive Democratic assemblywoman from the San Diego area who, in September 2019, led the successful drive for the passage of Assembly Bill 5 (AB5). That legislation is now reshaping the California economy for the worse by forcing the reclassification of many independent contractors as employees.

This shift is not without profound consequences, for it now entitles these new employees to receive, as a right, an expansive and expensive set of benefits including worker’s compensation, unemployment insurance, social security, overtime pay, and more. AB5 is meant to undo the current law, which in Gonzalez’s view, fails to afford independent contractors adequate legal protection. Her spokeswoman has explained via email: “The assemblywoman is incredibly angry at an economic system that has caused a permanent underclass in her community of working men and women who are constantly being squeezed by corporate greed.”