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Rep. Michelle Steel led members of the California Congressional Delegation in sending a letter to Governor Newsom urging him to take immediate action to prevent Assembly Bill 5 (AB5) from devastating the California trucking industry and further crippling nationwide supply chains.
“Last week, the U.S. Supreme Court denied a petition that leaves a reported 70,000 independent truckers with serious doubts about whether they can continue to operate inside our state. This creates a legal mess made by the State of California,” wrote the lawmakers.
They continued, “AB5 continues to restrict the ability of Californians to work as independent contractors. This law creates a chilling effect for many supply chain industries and makes it more difficult for independently contracted truck drivers to operate, leading many to leave California. Without enough truckers, cargo will continue to sit at the ports waiting to be delivered. We must allow for truckers in California to work as independent contractors.”
They concluded, “It is critical that you take action to ensure that this recent ruling will not add burdens to our already-crippled supply chains. Our constituents and local small businesses want to see this crisis resolved before they are further overwhelmed by broken supply chains, skyrocketing inflation, and the unacceptable state of our economy.”
The lawmakers sent the letter after the U.S. Supreme Court declined to take up California Trucking Association v. Bonta, a case challenging AB5. AB5 was enacted by state lawmakers in 2019 and reclassifies many independent contractors as “employees,” subjecting them to stricter regulations and increasing costs of operations. The law had been stayed pending appeal, but will now go into effect, potentially shrinking the number of critical independent truckers, further worsening the backlogs at the ports of Los Angeles and Long Beach, and exacerbating the supply chain crisis.
Members of Congress joining Rep. Steel in sending the letter include Reps. Kevin McCarthy (CA-23), Darrell Issa (CA-50), Ken Calvert (CA-42), Young Kim (CA-39), Tom McClintock (CA-4), Mike Garcia (CA-25), Connie Conway (CA-22), David Valadao (CA-21), Doug LaMalfa (CA-01), and Jay Obernolte (CA-08).
Read the full letter here.
