PPB March 2020

The Future Of The Independent Contractor In January, PPB Newslink reported on a bill moving through the House of Representatives that would effectively ban independent contractor classifications under federal labor law. Observers have pointed to the bill’s similarity to California’s Assembly Bill 5, which became law in the state on January 1, and considers workers employees unless they can meet three conditions that would classify them as independent contractors. I have read the bill that passed in California. Frommy understanding, we, as promotional product distributors, still would not fall under “employee” status, regardless of whether or not you are a partner of a larger company, like Geiger, iPROMOTEu, HALO or some other. The terms contained within the sales partner contract do not meet the requirements contained under the bill’s criteria. Distributors not affiliated with a third-party corporation would not be affected either. You are a business owner with a Tax ID and you collect, pay and report sales taxes, the same as any business, large or small. Your “employment status” would remain the same. Should this bill pass, the larger concern for small- business owners will pertain to how you structure service agreements when hiring part-time staff, temps or other independent contractors who provide services for you and/or your business. To avoid having employee taxes or other employee fees levied, it is important to know what to include or not include within the language of the contractual agreement set forth between you and any service provider you may work with on a routine and contractual basis—i.e virtual assistant, marketing consultant, IT, etc. I recommend reading the bill before getting too upset. I do not agree with the bill, however, I do not believe it will affect us to the extent you may initially think. STACEY CAREY President SAC Promos Palm Beach Gardens, Florida PPAI 751187, D1 Most small businesses rely on relationships with independent contractors who enjoy the freedom and flexibility to compete with the big boys. These kinds of policies are an attack on freedom of choice and place a handful of large conglomerates and unions in charge of controlling the workforce. STUART C. YOUNG Owner SAY Marketing and Promotions Adelanto, California PPAI 409586, D2 Staying On Top Of Energy Levels The January 30 issue of Promotional Consultant Today shared six tips with readers on how best to manage your energy during a busy day at the office. Thanks so much for the great tips as a reminder to slow down and focus to eliminate all the clutter in our brains. LISA BROWN President Bowled Over Promotions Orlando, Florida PPAI 348470, D2 feedback Send feedback on articles in PPB or opinions on industry issues to JamesK@ppai.org . 8 | MARCH 2020 |