AB5 and outsourcing to other countries

by valosdm. Posted on Sep 10, 2020    0    1

Will AB5 law allow companies in California to outsource freelance jobs to Mexico and other countries?
There are many small businesses that outsource their core business / operations to freelancers in Mexico and other countries in Latin America, especially if their business is 100% intangible (interpreters, virtual assistants, tutors, marketers), paying them via PayPal or through other freelance portals. At the moment, is this a workaround to AB5?


sevenradicals 1

Employees are subject to the laws of their own jurisdiction, not their employers.

So if someone in utah thinks they're an employee they would have to file suit where they work, which would be in utah, and therefore the company would not be subject to the laws of california.