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Black business group takes AB 5 independent contractor fight to Gov. Newsom

Quinci LeGardye | California Black Media 

The Black Small Business Association of California (BSBA) sent a letter to Gov. Gavin Newsom June 12. In it, the group criticized the state’s proposed allocation of $20 million in the 2020-21 budget to enforce AB 5. 

When the controversial labor law took effect in January, AB 5 reclassified millions of workers in California from independent contractors to W-2 employees. 

The letter, signed by the organization’s president Salena Pryor, argues that the state’s costly plan to enforce AB 5 would only exacerbate income inequality.

“BSBA believes that at this time, when California is facing a massive $54 billion deficit and the state’s unemployment rate is 24 percent, it would be fiscally imprudent to spend $20 million on enforcement of a policy that has been detrimental to the livelihoods of Black small business owners,” the letter reads.