SACRAMENTO, CA (MPG) - Shawn Yadon, CEO of the California Trucking Association (CTA), issued the following statement in response to the decision by Governor Gavin Newsom to sign Assembly Bill 5 into law:

“In the wake of Governor Newsom signing AB 5, the California Trucking Association is exploring its options to ensure California’s more than 70,000 independent owner-operators do not lose the tens of thousands of dollars spent in purchasing and updating their trucks, and other assets they have invested in order to build their own businesses.

“In its current form, AB 5 denies a significant segment of the trucking industry the ability to continue operating as independent owner-operators, forcing them to abandon investments they’ve made in their trucks as well as taking away their flexibility to set their own schedule and determine their destiny regarding their businesses, which many have operated for more than three decades.

“We look forward to working with the Legislature and the Administration to develop a more workable solution to AB 5 that protects employees from misclassification without eliminating the independent owner-operator business model.”

Since 1934, the California Trucking Association has been serving the commercial motor carrier industry in California and the companies that provide products and services to the trucking industry. A critical and vital component of California’s economy, nearly 80 percent of California communities depend solely on trucks to deliver their goods. Our carrier membership ranges from individual owner-operators, to small for-hire fleets, to the largest national and international carriers. Allied members of the California Trucking Association range from businesses involved with truck and trailer sales, parts and service, insurance, legal services and all other businesses that support the trucking industry.

The California Trucking Association promotes leadership in the California motor carrier industry, advocates sound transportation policies to all levels of government, and works to maintain a safe, environmentally responsible and efficient California transportation goods movement system.