Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Labor Misclassification topic
No spam. Unsubscribe anytime.
Committee advances bill requiring ports to report trucking data to curb driver misclassification
Summary
The Assembly Labor and Employment Committee voted to pass SB 703, which directs California ports to collect and report specific information about trucking companies operating at port facilities to help identify misclassification of truck drivers as independent contractors.
Sen. Toni Richardson presented SB 703 and the Assembly Labor and Employment Committee voted to pass the measure and re-refer it to the Committee on Transportation.
The bill’s sponsor and labor witnesses told the committee the proposal aims to close a data gap that frustrates enforcement of labor laws at California’s largest ports. Shane Guzman, speaking on behalf of the California Teamsters Public Affairs Council, said available court and regulatory filings do not provide the granular information needed to determine when drivers are misclassified. "You need that data to be able to determine who's following the law and who should be prosecuted for their misconduct," Guzman said.
A second witness, Elmer Lazardi with the California Federation of Labor Unions, told the committee misclassification leaves drivers without worker protections and imposes operational costs on them, driving debt and unfair competition. Lazardi said misclassified drivers can end up "owing more in truck and operating costs at the end of the week than they have earned in wages despite working full time." He urged the committee to adopt SB 703 to allow regulators to identify noncompliant actors and hold them accountable.
Committee members recorded no recorded opposition speakers during the item and committee staff noted negotiations with opponents were ongoing. Dan Cha, representing the Port of Long Beach, said the port had "no position" on the bill and is engaged in conversations with the sponsor and author.
The secretary recorded the roll call: Ortega, El Hawari, Kalra, Lee and Ward voted aye; the motion carried 5-0. The author asked the panel for an "aye" vote and stated a willingness to continue working with stakeholders on amendments as the bill proceeds.
SB 703 will require ports to collect and report information about trucking companies entering port facilities to support enforcement of worker-classification laws and related accountability. The measure was moved out of the committee as "do pass and be re-referred to the Committee on Transportation." The author and sponsors said they expect to continue negotiations with affected parties as it moves through the process.
Looking ahead, sponsors said they will continue talks with stakeholders and opponents to resolve outstanding concerns before the bill's next hearing.
