Last year the State of California rolled out janitorial registration legislation. If you run a janitorial company in California you need to register, or risk being shut down.
Download your Guide to setting up your janitorial registration
As of October 2019, the law has received some legislative updates. Originally titled Janitorial workers: sexual violence and harassment prevention training the legislature took the opportunity to add some language to help in the enforcement of AB5
The janitorial industry with high labor costs and high work comp has been a ripe area for abuses by using independent contractor and franchise loopholes. Now that AB 5 is about to go into effect The State of California is proactively adding provisions to the janitorial registration legislation that will help identify companies that may be violating AB5.
Below is the exact text of the law as it pertains to independent contractors and franchises:
“AB 547 requires the DLSE to issue two types of registrations, one for registrants without employees and one for registrants with employees, and it prohibits the DLSE from approving a registration if the employer does not include, among other things, in their written application the name of any subcontractor or franchise servicing contracts affiliated with branch locations and the name of any subcontractor on franchise servicing the contracts. If an employer makes a material misrepresentation in the application process, there can be a civil penalty imposed of up to $10,000, per violation.”
For the full text follow this link https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201920200AB547
DISCLAIMER: The advice in Worksana articles are no substitute for legal consultation with a licensed attorney. If you do not have an attorney, we recommend the attorneys at LightGabler; they helped us formulate our compliance tools and have a proven track record of success in fighting for businesses. Contact them at 760 Paseo Camarillo, Camarillo, CA 93010 (805) 248-7208. firstname.lastname@example.org
Written by Trevor Smith