The PRO Act contains a provision similar to California’s disastrous AB 5 labor bill
Steven Greenhut, the western region director of the R Street Institute, is also based out of California. “During the campaign, Joe Biden had promised to pass legislation similar to California’s Assembly Bill 5, which largely banned companies from using contractor workers. He did so despite the evidence of the legislation’s disastrous effects. Instead of creating new permanent positions with benefits, companies shed freelance jobs,” Greenhut said. “I see the legislation as an effort to impose California’s pro-union edicts on the nation. That inflexible labor approach stifles the gig economy and is one reason California has the nation’s highest poverty rate.”
