The City of Los Angeles has introduced the Freelance Worker Protections Ordinance, enforcing fresh stipulations on the hiring of independent contractors and freelance workers and introducing new penalties for contraventions of its terms. This new measure took effect from July 1, 2023.
This ordinance is applicable to both written and oral contracts made between a freelance worker and a hiring entity from July 1, 2023 onwards. It covers any work performed within the city boundaries by a freelance worker, who is entitled to a payment beyond or equal to $600.
The requirements imposed by the ordinance are designed to ensure greater transparency and fairness in the dealings between hiring entities and freelance workers. It is hoped that this will improve the conditions for independent contractors in the city, a distinct group of the workforce that has often been overlooked by the standard labor laws.
The introduction of penalties for violations of the ordinance further emphasizes the city’s commitment to improving working conditions for its freelance population. Examples of potential infringements could include contractual discrepancies, violations of payment terms, or any actions that undermine the comprehensive protections laid out in the new ordinance.
The full details and implications of this new legislation are covered in this comprehensive report by the legal firm Saul Ewing LLP, available here.
This report provides insightful analyses into the Freelance Worker Protections Ordinance and further explores its potential impact on companies hiring independent contractors within the city of Los Angeles.
As the situation evolves, hiring entities are encouraged to seek legal counsel to better understand the contingencies of this ordinance and the best practices for hiring and maintaining compliance with independent contractors under this new legal framework.