What You Should Know About a New California Law Protecting Freelance Workers

The Freelance Worker Protection Act Goes into Effect January 1st

Are you a Freelance Worker (Independent Contractor) in California? A new California law, SB 988 The Freelance Worker Protection Act that goes into effect on January 1, 2025 will require a written contract for any work exchange greater than $250. The new law expands protections to freelance workers by establishing minimum employment requirements, including a written contract requirement. The Freelance Worker Protection Act was approved by Governor Newsom on September 28, 2024 and was filed with the Secretary of State the same day.

“This bill is about basic fairness, we are looking to make sure that freelancers are treated fairly, that they get paid, and that they get paid in a timely manner.”

Legislation Author, Sen. Scott Wiener (D-San Francisco)

What is a Freelance Worker?

The law defines a Freelance Worker as: “Freelance worker” means a person or organization composed of no more than one person, whether or not incorporated or employing a trade name, that is hired or retained as an independent contractor by a hiring party to provide professional services in exchange for an amount equal to or greater than two hundred and fifty dollars ($250), either by itself or when aggregated with all contracts for services between the same hiring party and independent contractor during the immediately preceding 120 days.” – Source: *CA Legislature

“Professional services” are those specified in California Labor Code Section 2778, which encompasses a range of services includes services such as marketing, human resources, travel agent services, graphic design, grant writing, fine artistry, photography, videography, photo editing, freelance writing, translating, editing, illustrating, among others.“ Source: **4 A’s

Know your rights, these are your rights…

The full text of SB 988 can be found on the California Legislature Website HERE.