Recently, California switched from the Borello test to a more simplified ABC test to determine whether a worker is truly an independent contractor. The ABC test (or 3-factor test) is currently in use in over 20 states.
California’s ABC test requires the “hiring entity” (salon owner, in our case) to prove each of the three factors:
A.) that the worker is free from the control and direction of the hiring entity in connection with the performance of the work, both under the contract for the performance of the work and in fact;
B.) that the worker performs work that is outside the usual course of the hiring entity’s business; and
C.) that the worker is customarily engaged in an independently established trade, occupation, or business of the same nature as the work performed.