Owner-operators might be a thing of the past if the PRO Act gets pushed through. The Protecting the Right to Organize (PRO) Act of 2021 implements the ABC test to determine if workers are considered employees of a business or not. The Owner-Operator Independent Drivers Association has sent a letter to the U.S. House of Representatives advocating for people to vote against this Act. California put the ABC Test into place back in 2019 but the California Trucking Association challenged it and is hoping to have the trucking industry not included. If it does pass, the trucking industry will be shaken up and a lot of small business owners will have to rethink their future.
The ABC Test includes three factors:
A. That the worker is free from the control and direction of the hirer in connection with the performance of the work, both under the contract for the performance of the work and in fact.
B. That the worker performs work that is outside the usual course of the hiring entity’s business.
C. That the worker is customarily engaged in an independently established trade, occupation, or business of the same nature as that involved in the work performed.
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