DCA4AC364DA694CE8725826B007C4A25 Hearing Summary

The committee returned to order. Representatives Pabon and Sias, prime sponsors, presented SB 18-171, concerning the creation of a test to determine whether a marketplace contractor that provides services on a marketplace platform is covered under certain employment-related laws. The sponsors explained the effect of the bill.  Representative Pabon responded to questions regarding what employment-related laws are impacted by the bill, and the effect of the bill on a fact pattern with liability implications for the entity contracting for services.  Representative Pabon responded to further questions regarding certain court rulings that impact the bill.

Representative Pabon responded to questions regarding quality of service.

Ms. Becky Smith, representing the National Employment Law Project, testified in opposition to SB 18-171. She explained that the scope of the bill extends beyond its title, and discussed the new definition of employer set out by the bill. Ms. Palak Shah, representing the National Domestic Workers Alliance, testified in opposition to the bill. Ms. Shah explained how the bill erodes the rights of domestic workers, and discussed the intersection of technology and work. Mr. Scott Wasserman, representing the Bell Policy Center, testified in opposition to SB 18-171. He discussed technology's effect on economic mobility. Ms. Smith responded to questions regarding the potential for additional companies to convert their employers to independent contractors through the use of technology. Ms. Shah responded to questions regarding the effect of certain technological platforms on workers' independence. Ms. Smith responded to questions regarding the impact of the bill on other worker protections already in law, and certain court decisions impacting employment. Discussion ensued regarding the legal protections for domestic workers. Mr. Wasserman responded to questions regarding the effect of technology on the provision of benefits to workers going forward.

Mr. David Lichtenstein, representing the Plaintiffs Employment Lawyers Association, testified in opposition to SB 18-171. Mr. Lichtenstein discussed economic leverage that employers operating on technological platforms have over workers, and the impact of the bill on workers in areas such as benefits and wages. Ms. Corrine Rivera Fowler, representing Padres y Yovenes Unidos, testified in opposition to the bill. Ms. Fowler discussed the lack of benefits and protections for those participating in the "gig" economy, and the protections removed from employees by the bill. Ms. Casey DiGaetano, representing herself, testified in opposition to the bill. She discussed the lack of benefits and protections in her employment. Ms. DiGaetano responded to questions regarding what happens if she is injured at work. Discussion ensued regarding the fiscal analysis of the bill. Mr. Lichtenstein and Ms. Fowler responded to questions regarding the ability of platform employers to discriminate in hiring.

Ms. Marie Medina, representing herself, testified in opposition to the bill. Ms. Medina discussed her work for a marketplace platform company, and explained why classifying such jobs as independent contract arrangements is detrimental. Ms. Kathy White, representing the Colorado Fiscal Institute, testified in opposition to the bill. Ms. White discussed the loss of unemployment insurance and workers' compensation under the bill, and certain add-on effects of the bill. Ms. Karla Gonzalez Garcia, representing the Colorado Organization for Latina Opportunity and Reproductive Rights, testified in opposition to SB 18-171. Ms. Gonzalez Garcia discussed the impact of the bill on workers. Ms. Medina responded to questions regarding her gig economy position. Ms. White responded to questions regarding the impact of the growth of the gig economy. Discussion returned to Ms. Medina's position.

Ms. Claire Levy, representing the Colorado Center on Law and Policy, testified in opposition to the bill. Ms. Levy read a statement about the marketplace platform economy. Ms. Judith Marquez, representing 9to5, testified in opposition to SB 18-171. Ms. Marquez discussed those who work in the gig economy, and the loss of protections under the bill. Mr. Kyle Huelsman, representing the Colorado Immigrant Rights Coalition, testified in opposition to the bill. Mr. Huelsman discussed the scope of immigrant labor in Colorado, and issues these workers face. Ms. Levy responded to questions regarding the potential for removing the independent contractor legal status, and the ability to regulate marketplace platform jobs through existing law and caselaw. Ms. Marquez and Ms. Levy responded to questions regarding protections currently in place for certain marketplace platform positions.

Ms. Ashley Wheeland, representing the Women's Lobby of Colorado, testified in opposition to the bill. She discussed the loss of protections for workers under the bill. Mr. David Seligman, representing Towards Justice, testified in opposition to SB 18-171. Mr. Seligman discussed the incentives created for employers by the bill. Mr. Eric Leveridge, representing United for a New Economy, testified in opposition to the bill. Mr. Leveridge read a statement in opposition to the bill. Discussion ensued regarding caselaw that impacts the bill, and the ramifications of pushing marketplace platforms out of Colorado.

Mr. Scott Meiklejon, representing Western Colorado Contractors Association, testified on the bill from a a neutral position, if amendment L.011 (Attachment C) passes. Discussion ensued regarding this amendment. Mr. Meiklejon responded to questions regarding how workers' compensation claims are handled for marketplace platform jobs.

Mr. Patrick Teegarden, representing the Department of Labor and Employment, made himself available to respond to questions. Mr. Teegarden responded to questions regarding the fiscal impact of SB 18-171, and whether the bill creates more marketplace confusion.

Mr. Brian Miller, representing Handy, testified in support of SB 18-171. Mr. Miller discussed the benefits of marketplace platform services, and explained how employment laws are outdated and not suited for new types of service delivery. Mr. Vikrum Aiyer, representing Postmates, testified in support of the bill. He discussed the economic benefits of marketplace platforms, and explained how current employment law inhibits its ability to innovate. Mr. Matthew Lopez, representing himself, testified in support of the bill. Mr. Lopez discussed his work in the gig economy, and the benefits of such employment. Mr. Lopez responded to questions regarding the benefits he received when he was delivering food for restaurants. Discussion ensued regarding the decision-making ability of those working in the gig economy, and the ramifications of not adopting SB 18-171.

Mr. Jeremiah Leslie, representing himself and Handy, testified in support of the bill. Mr. Leslie discussed his experience in working with Handy to build his business. Mr. Matt Wendel, representing the Colorado Technology Association, testified in support of the bill. Representative Pabon read a statement in support of the bill by Ms. Becky Petre. Mr. Leslie responded to questions regarding his arrangement with Handy.

Ms. Bre Andrews, representing the AFL-CIO, testified in opposition to the bill. Ms. Andrews discussed an arrangement between certain corporations and marketplace platforms, which she says misclassifies employees.

Representative Pabon explained the effect of amendment L.011.

Discussion ensued regarding the merits of amendment L.011.

Representative Herod explained the effect of amendment L.012 (Attachment D). Discussion ensued regarding the amendment.

Representative Herod explained the effect of amendment L.015 (Attachment E). Discussion ensued about the amendment.

Representative Herod explained the effect of amendment L.016 (Attachment F). Discussion ensued regarding the amendment.

The committee recessed.

The committee returned to order. Various committee members provided their positions on SB 18-171. Representatives Pabon and Wist provided closing remarks in support of the bill.