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The California Supreme Court has weighed in on the distinction between an employee and an independent contractor.

On April 30, 2018, the California Supreme Court issued a landmark decision in Dynamex Operations W., Inc. v. Superior Court that helps to clarify the distinction between an employee and an independent contractor. [No. S222732, 2018 Cal. LEXIS 3152 (Apr. 30, 2018)]. The decision is likely to have wide-ranging repercussions on California employers and the way they calculate payroll costs, including unemployment insurance and workers’ compensation premiums. It’s also likely to cause some organizations to rethink the “gig economy” business model.

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