The editorial board of The Tribune in San Luis Obispo, California, is calling on its readers to ask California legislators to act before the end of the year to prevent an only-in-California problem that could leave community newspapers facing a crushing financial blow.
AB5, a new California law that requires independent contractors like newspaper carriers to be classified as employees (versus contractors), goes into effect for newspaper carriers at year’s end.
"Newspapers in California will face an increase of up to 80 percent in distribution costs," the editorial notes. "That, combined with ad revenue losses estimated at 40 percent due to the coronavirus-induced recession, will push dozens more newspapers over the edge.
"Newspapers are likely to reduce home delivery, cut long-standing features or raise subscriber rates. Jobs that AB5 was designed to protect — carrier and distribution positions — will be eliminated."
The editorial notes that exemptions for people such as musicians, freelancers and photographers are already being considered and is calling on readers to ask their elected officials to support an exemption for newspaper carriers.
