Search Travel Market Report

mainlogo
www.travelmarketreport.com
U.S.A.
English
Canada
English
Canada Quebec
Français
  • News
  • Tours & Packages
  • Cruise
  • Hotels & Resorts
  • Destinations
  • Retail Strategies
  • Air
  • River Cruise
  • Training & Resources

California Senate Approves Gig Economy Bill

by Richard D’Ambrosio  September 12, 2019

California legislators approved a bill Tuesday that requires companies like Uber and Lyft to convert contract workers to full-time employees.

The bill passed in a 29-to-11 vote in the State Senate, with the State Assembly passing it as well in what is called a concurrence vote – necessary because of revisions made to the bill in the Senate since it was passed by the Assembly earlier this summer.

The proposed law, Assembly Bill A.B.5, now heads to the desk of California’s governor, Gavin Newsom, who has endorsed the bill and is expected to sign it. Governor Newsom can sign, veto, or let the measure take effect without action by Oct. 13.

Targeting companies like Uber and Lyft, the original legislation swept up other professions, including independent contractors (ICs) working as travel agents.

But after a coordinated lobbying effort by the American Society of Travel Advisors and the California Coalition of Travel Organizations, travel agent ICs were granted an exemption similar to other licensed professions, like lawyers, architects, accountants, insurance agents, and investment advisers.

A.B.5 would go into effect on Jan. 1, forcing companies to designate contractors as employees, where the State determines the company exerts control over how those ICs perform their jobs and if their work is part of a company’s regular course of business.

Uber has already stated that it will fight the law if it is enacted, claiming they are a software platform for services like ride-hailing.

Some labor experts are speculating that A.B.5 could stimulate other state legislatures to draft similar bills, with New York, Oregon, and Washington state in the crosshairs of labor advocates.

  
  

MOST VIEWED

  1. Americans Planning an Average of Almost Four Vacations Over the Next 12 Months
  2. Royal Caribbean Makes Canceling a Cruise More Expensive
  3. TSA Officers Will No Longer Be Allowed to Sit During Airport ID Checks
  4. How Travel Advisors Can Avoid Client Burnout by Managing Expectations Upfront
  5. American Airlines Launches Automated Seat-Swapping Tool in App


TMR Subscription

Subscribe today to receive daily in-depth coverage from all corners of the travel industry, from industry happenings to new cruise ships, hotel openings, tour updates, and much more.

Subscribe to TMR

Top Stories
ASTA Launches Petition Urging Amex to Restore Travel Advisor Access to Privileges Programs
ASTA Launches Petition Urging Amex to Restore Travel Advisor Access to Privileges Programs

ASTA says the decision will force cardmembers to choose between receiving benefits and keeping their advisor involved in their booking.

ASTA Honors Signature Travel CEO Alex Sharpe with President’s Award
ASTA Honors Signature Travel CEO Alex Sharpe with President’s Award

ASTA cites Sharpe’s leadership and longstanding commitment to strengthening the travel agency community.

Americans Planning an Average of Almost Four Vacations Over the Next 12 Months
Americans Planning an Average of Almost Four Vacations Over the Next 12 Months

American tourists expect to spend $5,655 on travel over the next 12 months.

Avoya Travel Names New Manager of Network Growth
Avoya Travel Names New Manager of Network Growth

Peg Hunsinger has been with Avoya Travel for nearly four years, most recently serving as Avoya Travel Academy specialist.

How Travel Advisors Can Avoid Client Burnout by Managing Expectations Upfront
How Travel Advisors Can Avoid Client Burnout by Managing Expectations Upfront

Great service isn’t always about doing more. Sometimes it’s about making sure clients know what to expect. 

Headquarter Happenings: TRAVELSAVERS and NEST Outline High-Touch Growth at Travel Market
Headquarter Happenings: TRAVELSAVERS and NEST Outline High-Touch Growth at Travel Market

Network sales in 2026 significantly outpaced 2025 across almost every segment.

TMR OUTLOOKS, WHITE PAPERS & DESTINATION GUIDES
View All
industry spotlight
https://img.youtube.com/vi/sqLJtWM8JTU/0.jpg
What Today’s Luxury Traveler Means for Cruise Advisors
Advertiser's Voice
We’re Back – Collette Season 109
About Travel Market Report Mission Meet the Team Advisory Board Advertise Syndication Guidelines
TMR Resources Calendar of Events Outlook/Whitepapers Previous Sponsored Articles Previous This Week Articles
Subscribe to TMR
Select Language
Do You Have an Idea Email
editor@travelmarketreport.com
Give Us a Call
1-(516) 730-3097
Drop Us a Note
Travel Market Report
71 Audrey Ave, Oyster Bay, NY 11771
© 2005 - 2026 Travel Market Report, an American Marketing Group Inc. Company All Rights Reserved | Terms and Conditions
Cookie Policy Privacy Policy Manage cookie preferences