California Supreme Court rules ABC independent contractor test can apply retroactively (San Francisco Chronicle)

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The California Supreme Court ruled the state’s ABC test that aims to get tough on independent contractor misclassification can apply retroactively; the decision represents a potential difficulty for some firms that use independent contractors despite Proposition 22, the San Francisco Chronicle reported. Uber Technologies Inc. (NYSE: UBER) and Lyft Inc. (NASDAQ: LYFT) had backed Proposition 22, which allows them to continue classifying drivers as independent contractors. Voters approved Proposition 22 in November, but the new law won’t protect the companies retroactively.