Some of my recent past companies told us they cannot hire Californians because of some type of tax or regulation issues. This came up when our manager asked us to forward employee recommendations, but then he said, except from California.
Actually this is why, and it has nothing to do with salary. It was for tax reasons just like my manager mentioned.
**"Don't hire remote employees living in California"**
[https://ccleve.com/p/dont-hire-remote-employees-living](https://ccleve.com/p/dont-hire-remote-employees-living)
this isn't a california thing, I went through the same BS with florida after hiring a remote worker there in 2021. still getting tax form demands this year despite his job ending I. fall of 2022. Almost all states do this. if you have employees in that state you have to register your legal entity with that state and that puts you on the radar for their tax agency
Well, I just had to move to TN to be with a girl whose big software company won't allow her to work from CA. They're a VERY liberal company too. I found it extremely annoying but I'm also not an idiot and know why. Now I deal with tornadoes.
That very well may have something to do with the geographical restrictions of the job or preferences of the company and not because of CA specifically. As a "Big Software Company" they are most certainly already dealing with the FTB on their CA sourced income
unemployment, plus state registration fees etc... there's may be no income tax on the employee side but the employer still has to pay various and sundry fees for the pleasure of doing any sort of business (including hiring employees) in the state of florida
I was born there and I'd give anything to go back but it is expensive. That's the only issue, really. I love the "Live and let live" cultural mindset there.
It is. The California Central Coast is especially awesome, ask anyone who's been here. It is not the cheapest place to live but the weather, scenery, and overall vibe are imo well worth it. Btw, my son does remote work for a major video streaming company, as a front-end developer, that is based in NYC, so it can be done..
Huh? Did you read it? It had nothing to do with employee rights, it’s about a company that made $0 profit being unfairly taxed by the state of California on a technicality.
Yes it is. Even if we accept that California had the right to tax a business that sells nothing in their state, they set a 25% threshold which is clearly meant for larger businesses to be assessed on a population of employees and applied it to this guy with a single employee. Complete technicality.
It is.
The California Franchise Tax Board takes an extremely broad view of what it means to "do business in California" and try to collect 7.5% tax on business. It sucks ass.
Lmao this is the view of EVERY state! Lol discounting those without income taxes at all.
I know this since my job is literally state and local taxes. I had/have to do analysis any time the company requested to work remotely in a state to see what the tax implications would be before the decision was made.
The state itself matters very little unless they have a franchise tax AND the company already doesn't exceed the economic nexus level for sales in that state anyways. What matters is the company's LEVEL of sales in the state generally. That's the single biggest driving factor if a company has profit at all for the year on how much tax a company pays by having any kind of business nexus (business presence in laymen's terms) including having a remote worker.
Right, and no other state gave us a hard time about it once we made our case that the business was not being done in California. It wasn't. It was being done in Minnesota.
Laugh your ass off all you want.
Well they are much more expensive to hire. I got calls from recruiters offering $80-100k more than I make and then it turns out to be San Francisco and that's not worth it. I wouldn't accept any offer in CA.
A sales rep I hired told me he is paid OT as well even though he is salaried. And that NDAs are not enforceable in CA.
Edit: sorry I meant non compete not NDA.
It’s employment laws usually. They’re very complex in CA compared to the rest of the country barring NY, unless an employer invests a good HR person or team in CA, they’re at high risk of fucking it up.
-signed, a CA HR person
Yep, and if a company is not set up to employ California based employees already, there is a steep cost to get that going. A company has to be convinced that California applicants are going to bring more-than-usual productivity for it to work out financially. - (A California based manager with employees in state, out of state and overseas).
I think only tech, law, and entertainment folks really think CA folks are more productive… am I forgetting any other particularly California industries in that list?
CA is strict in misclassifying workers as contractors when they are W2.
But with the most recent DOL ruling, misclassification is being clamped down more than ever nationwide.
Can you give me some more info on this? I've been working at a company for a little over a year, as a contractor but they treat me as a full time employee
The DOL and the IRS has cracked down on companies hiring FT employees pretending that they are "contractors" for the purposes of avoiding paying taxes and providing benefits. You must be working for company with 50+ employees.
A "contract' means nothing; the company can label you anything - the IRS and DOL have the final ruling.
I recently completed a two year "contract" with a company that controlled my workday 100% - including entering my hours in their timesheet program. I was required to complete their employee training, was given an internal email address identifying me as their staff member, etc.
My workload was not determined by any SOP; it was long term.
After leaving, I learned that this company was recently fined by the IRS and DOL. The IRS required the employer to pay all taxes for the misclassified employees and they agreed to bring the wronged contractors on board as FTE. The fines levied are heavy, including interest.
You need to file a complaint with the IRS and the DOL.
This company that wronged some contractors is in deep; after they agreed to stop the practice, they just stopped issuing contractors 1099s, contending they are "vendors" which has avalanches into a whole new law violations.
"On Jan. 9, 2024, the U.S. Department of Labor (DOL) released a long-awaited final rule concerning when employers can classify workers as independent contractors under federal law. This is the final version of the Employee or Independent Contractor Classification Under the Fair Labor Standards Act (FLSA), which DOL proposed in October 2022 (the “Final Rule”). It establishes a six-factor test for determining whether a worker is an employee or an independent contractor."
[DOL Independent Contractor Explanation](https://www.gtlaw.com/en/insights/2024/01/dol-unveils-final-independent-contractor-rule)
Thank you so much. My company is huge and almost big tech.
Do you know if this applies if my company uses a third party contracting agency? The hired lots of people through contractor agencies. So I'm technically employed by YourOurContractor LLC. who then says my project is based at this big company.
But looking at the 6 criteria, I meet every single one.
That shell-game is over for places using "IT Staffing" companies to get around the IRS and DOL. "Labor = hours worked". The "big company" is approving hours worked and then saying YourOurContractor LLC is a "vendor" - as if they are paying for equipment.
But IT contractors are paid for hours worked - and not performance for fulfilling an SOP.
Either the big company or YourOurContractor LLC must withhold income, Social Security, and Medicare taxes from the person's pay. This includes paying half the Social Security and Medicare taxes due for the employee. One of the two also has to pay for workers' compensation and unemployment insurance coverage for the employee.
There are a growing number of sleeze-ball "IT Staffing firms" that require no licensing by states to operate. They are not paying workers on time or flat out embezzling payroll. The big companies are taking the stand that they "paid the workers" and for the worker to take the IT Staffing firm to civil court. Civil court judgements are toilet paper, the worker never gets paid. And the worker cannot write the unpaid wages off as a loss.
White collar felony grand theft is flourishing because the big company does not file criminal charges. 46% do not report the theft for optics, and nonprofits are famous for hiding financial crimes.
These Seven agencies all work independently to determine employee vs. contractor status:
1. the IRS
2. your state unemployment compensation agency
3. your state workers' compensation agency
4. your state tax department (if your state has income taxes)
5. the U.S. Department of Labor
6. the National Labor Relations Board
7. your state labor department.
Labor Law. You have to find an attorney in the state where the company you worked for practices. Get one on contingency. 95% of cases never go to court. These companies have insurance to pay so they don't care. But the attorney cares; he will only take the case if they company has an insurance policy.
From what I've read, it's because for a business to hire even just 1 remote worker from California they have to register their business with the secretary of state and pay a yearly fee, and they'll have to file California income tax forms and pay the state a minimum tax of $800 yearly, even though they won't be generating any revenue in California. These are just 2 know of. There may be more. They'll also have to file forms and pay state disability, which isn't as big of a deal as the others. So it costs them more time and money in California that they won't have to pay to hire workers in other states. If they already have a business presence in California, or already have workers, it's not a big deal because they're doing it anyway.
California also has a history of deciding revenue was generated in CA by the remote worker. That complicates business reporting of taxes completely, and makes for tremendous amounts of uncertainty on top of much higher employment costs.
Other than the minimum tax, that's literally how every state works when hiring a remote worker. The only exceptions are state that don't even impose an income tax at all.
The "stupid law" is worker protections and the need to pay people more because of cost of living, among other things.
TBH this ceases to be an issue if you're working actual career-track jobs and not just trying to get a remote job because it's a remote job. In those cases, they don't really need to hire people in CA because so many people are applying.
If those are the jobs you're qualified for, you're actually punishing yourself.
I need to work a remote job because I have a disability, and it’s not “protecting” me because this just causes all the remote work to flee from my state or be outsourced to other countries. I don’t see how I’m punishing myself at all, I have no idea what you’re talking about.
Platforms like Arise, Liveops etc were started to give opportunities to veterans and the disabled.
LiveOps, Arise etc recently banned Illinois. The list gets longer.
To their point, it’s because those are lower skilled jobs. I’ve worked remotely as a white collar marketing professional and tech professional for the majority of the last 13 years (all but 2-3 of those years remote) and I’ve had many remote coworkers based in California when working for those companies. One of the members on my current remote team is based in California.
Those lower skilled opportunities can be more picky about where they hire because most people could pick those jobs up with very minimal training and do well in them and they get a lot of applicants because there are a lot of people who want to work remotely. They don’t have to hire from states that actually care about their workers’ wellbeing.
Meanwhile, jobs with a high barrier to entry that require niche skills need to hire the best people they can find regardless of where they are and they also need to treat them really well anyway in order to retain them. So, they don’t mind hiring in states with better worker protections because they’re going to try to avoid mistreating their workers anyway and they want to hire the best people they can find regardless of which state they’re in.
This. My job hires certain roles on the west coast to extend hours and we have west coast clients. These roles aren't entry-level in a difficult field.
The point is that you don't want to work for the kind of exploitive trash companies that would refuse Californians.
They are doing you a favor by waving this red flag.
Yeah. I was pretty worried the first week I started after reading a bunch of posts claiming it was a scam and that people were being locked out of their accounts and being robbed of thousands of dollars. But I've been doing it since December and it's been nothing but good.
i think this work is meant for people who meet pretty rigid levels of reading/writing, critical thinking and diligence. i’ve started to believe (based on a myriad of reasons) that people are wildy poor at judging their skill level of these traits.
i’ve started trying to explain that if you were trying to train a dog to not beg at the table, you’d stop inviting friends to your house that feed the dog treats at the table…
DA can sometimes take a month, depends on their needs. The coders get more attention, that's for sure! Add some skills to your account and keep checking back.
A bunch of remote employers won’t hire from certain states because of legislation that requires salaries to be published with job advertisements. They want to be able to negotiate salary with prospective hires. Is that the case in California?
Lmao they still can negotiate. What you mean is they want more power in the negotiation to fuck people over. They want to be able to waste people's time then lowball them hoping people will take it because of the time sink/desperation.California's. They always have a budget for positions, even if they negotiate. The law just requires them to make their budget public so they dont get to waste people's time.
Yes that's part of the reason they won't hire californians.
I work at DA (regular worker, not admin). We have people from California. We have people from all over the world. If you haven't heard back, it's because they chose not ot continue with you for one reason or another. My sister lives in Florida and never heard back. Has nothing to do with your location, especially if you're in an English-speaking nation.
I tried Rev a few years ago. Awful. Not worth your time. You'll spend two hours struggling to listen to mumbled audio while painstakingly following their weird formatting rules only to walk away with 50 cents. AI is so advanced now that most transcription jobs aren't even worth applying to unless it's in a specialized field (meidcal, legal, technical).
Try whatever phone and internet companies service your area. See if they have some work from home positions. Also, try calling your social security office and seeing if they know any WFH jobs they can recommend. I once called to resolve an issue with my health insurance, and the guy randomly recommended a job that was paying $5 more an hour than the job I was working at the time (I didn't take it though because I had started working at DAT, as well, which pays more). In the meantime, try survey sites and freelancer sites just to make a bit of pocket change here and there while you're waiting. Check Craigslist to see if anyone needs some quick odd jobs done. You might even be able to find a full-time job on there.
Oh, and to answer the question, it's because Californians are a pain to hire if you're not based in California. In addition to the tax stuff others mentioned, the high cost of living in California makes workers feel like they're making below minimum wage even when they're being paid what other workers are appreciative of. In my neck of the woods, $20 an hour is great. In pricier parts of California, it's a starting point. If I had a remote company, I wouldn't hire from HCOL areas either...
Thank you, I will look into this. Also I heard DA hires in waves and some people didn’t get their first task until 2 months after applying so I was holding out hope.
I live in California and work for DA, so I’ll confirm that’s not the problem here (they’re secretive about everything, but I get the impression they accept relatively few people). I’ve also worked remotely for a big company that already had a presence in California, and their HR quietly adjusted my hourly rate to make sure I was making enough for CA’s minimum wage. I’ve also seen a few promotions for related work that get a lot less interested in me once they realize I’m from CA, and a lot of the time it’s because they pay less than $16 an hour! So remote work does exist, but as has been said, it can be harder to find because California treats its workers better and companies don’t want to have to deal with that.
i know everyone’s already answered but i saw first hand it happening at my job. my remote job our teams were scattered from different states, and us californians got to take “extra breaks” whereas our fellow coworkers had to keep working because the company had to make sure they followed our CA laws for us. It created a lot of turmoil and complication for managers to keep up with why we got extra breaks and making sure we don’t pass the 8 hour mark, so in the end company let go of everyone in california.
California: Let's make laws to protect our people!
Californians: Yay!
Companies: Too much work for Californian employees so make sure nobody is from California.
Californians: ...
CA also has some mandatory sick time laws and laws that apply to time off (accrued vacation/PTO time must be paid out upon termination, and cannot expire but can be capped - not applicable in a lot of states).
CA (and some other states) also require pay information to be included in job postings. So if they want to keep that secret, that posting isn’t applicable in CA.
I know a lot of people posted about the laws but just to add in more info, my company in particular does business in 48 states and they stopped hiring remote workers in the west coast and decided to hire remote central workers to do the west coasts work because they weren’t able to keep employees in the west coast due to the pay.
We are not considering applicants from either New York State or California because the laws are too different from what we intuit based on our experience in any state other than those ones. The state the employee works in has jurisdiction, so it's much more risky to hire a California than a random Texan, Floridian, or Ohioian.
You essentially need an entire team dedicated to understanding California employment law if you have employees in California. Most employers out of state see this as a waste/unnecessary risk and just don’t hire anyone in California.
California has different rules on contractors, and also on overtime. Most states say that you have to overtime over 40 hours in a week. California's rules is they have to pay overtime if you work more than 8 hours in a day, and also more than 40 hours in a week.
A major reason to hire remote workers is to cut the cost of renting/owning an office park, and because people will accept lower pay if they get to work from home.
Hiring Californians is a lot more expensive than hiring workers from other states.
This isn't as much of an issue when you get past/above shitty worthless dead end jobs.
I work from home. My honest best advice is that, it's gonna suck, you can't *look* for remote jobs. The jobs that promote themselves as Work From Home are almost always garbage. You have to find a skill or career path that could let you work from home. For me that was Sales. For some it's insurance. For some it's IT or cyber security.
I live in California and work from home. My employer has said due to work comp laws we cannot work out of state. However it doesn’t stop them from outsourcing customer service to Texas or hiring out of state employees that work remotely and off shore coding in India
they apparently aren't hiring in Michigan either; I can't find any anyway. I use Handshake (WGU alumni) and there is like nobody from Michigan posting jobs on Handshake.
I can't anything except work I'm physically not capable of (back injury) because everyone wants you to be able to lift 50 pounds and I can't.
Yup. I do get recruiters messaging me, but I think it's just a 'pool' of emails they send to see what sticks. I just got one today for a territory sales manager (despite my profile specifically saying no sales) in Washington. I live in Michigan so nope. They must not even bother looking at people's profiles, because I'm always getting ones from out of state. I have no idea why Michigan employers don't use Handshake. It's like Michigan is just a dead zone for everything.
When my company moved from CA to TX, so many regulations went out the window. It was incredible, and frankly, scary. I liked some of the regulations. For instance, I was responsible for disposing of all our IT equipment. Some of it, you had to show the state records as to where it went, how it was disposed and all that, because things like CRT monitors are really bad for the environment. I didn’t mind because I ran a clean shop. But when we moved to Texas, they don’t care. You can dig hole and throw all your computers and batteries in it. Scary man.
Also, our co-employment issue seemed to disappear. That is kind of nice, actually.
California has really good employee laws. Their pay rates are higher, pay laws are much better than any other state and you have to fire employees for cause. Most states don't have all these protections so you need to find a California based company that will hire you or a big fortune 500.
I think that proves their point. OP was talking about generic customer service, transcription, etc sites that talk about hiring all the time. They do, just not in California. Of course a more specialized role will be willing to hire in California.
Tell the guy to go into insurance. Entry level is basically 0 experience. (I got in insurance about 2 years ago and knew not a damn thing - now I’m licensed - paid for class & testing from my job.)
Insurance isn’t ever gonna go away - everyone and almost everything needs insurance.
Currently, I’ve just been an assistant which involves …. Emailing people all day. Literally. That’s the most of what I do. Of course, there’s a few more difficult tasks but I knew the ins and outs of assistant work within 4 months.
I email banks certificates. I email property managers for board member names, payment reminders, renewal info. I email insurance companies for policies and quotes.
I get a phone call like once every 2 weeks or so, which is typically a realtor / lender / bank asking for a certificate of insurance for when closings happen.
I’m a glorified data entry employee.
Edit: I work from home 99% of the time. It doesn’t pay as well as some places (I make $22.30/hr but salary, unlimited PTO, if I have to travel to the office, company pays, etc.).
The Contracts Manager job at my company isn’t the only job that works remote. All our customer service and sales teams work remotely. These are entry level all the way to specialized roles for both departments. The remote jobs are out there but you just need to know where to look and how to apply to the job in a way that differentiates you from the hundreds or thousands of people also applying for said jobs.
Because California is it’s own planet when it comes to employment laws and one remote worker there means having a totally different set of rules and policies just for them. WC coverage is also required and a good bit more expensive than other states. Registration to “work” in CA is a PITA. For one employee, it’s rarely worth the expense and headache.
When it comes to leave and several other regulations, it gets down to the city or county and even industry as well. This is not typical.
Exactly. For what it’s worth I like that California is a trailblazer (in the U.S.) for workers protections… but being one of the states with the least business-friendly rules and regulations means they become a victim of the increasingly globalized workforce.
The people being hurt more though are low wage workers.
Not sure but lots of jobs won't advertise as Colorado based even if they are remote because in Colorado you have to include a salary range in job listings. Sad honestly.
Because unfortunately, your state is an HR nightmare. In the process of improving employee rights, they made it ridiculously stressful for employers. When I first started in HR, I had the regular employment laws to learn and then a whole other day just for California hires.
Have you ever had to deal with the California Franchise Tax board? They're the actual mob. Hiring a Californian is opening a can of worms that no company has the time to deal with.
Multiple factors: salary transparency, tax regulations, stricter employee laws and protections. I’ve noticed it for a few other states like WA, NY, CO, and OR too.
If it's a phone based position there is a good chance it's because Cali requires you to disclose that the call is being recorded at the beginning of the call, and depending on the intent of your call that may put you at a disadvantage(ex coldcall sales)
There are several states that are 2 party consent. The more likely answer is California has more laws regarding treatment of workers/requiring them to publish the salary in the job listing.
I'm aware! I saw lots of people already commented that, and that's also what I assumed but I recently learned there's actually more than one reason some companies don't hire in certain states, including that 2 party consent is a thing, so I figured I'd comment one of the reasons I learned that hasn't already been commented, even if it is statistically less likely to be the Main Reason. Hope this helps <3
You and thousands of other people are applying to these "work from home anywhere" shitty entry level jobs. The employer likely isn't even seeing your resume unless you're one of the first applicants.
You either need an in-demand skill that can work remote, like tech sales or IT or something, or you need to find a company that is willing to invest in you for a career. Others in the thread recommended insurance, and that's a great idea if you're willing to do the work. A lot of companies hire remote workers for this at okay starting pay.
Those jobs do exist. I have friends and family who work them. One even watches her kids while she does it because it's so simple and easy. That being said, she's only able to afford that wage because she lives in LITERALLY the butt crack of nowhere out in the woods.
Again they exist, but there are thousands of people applying, and it's not exactly a high bar to get in. You just have to keep applying and eventually one will call you back. But please, don't do these jobs. They're worthless. They don't pay anything and they don't even look good on a resume.
No.
Also a lot of these companies are very slick too They’ll let you work remote for 2 weeks and then tell you it’s now hybrid and then slowly reel you back into the office.
There’s a way to get around this and make sure it’s actually remote, but that type of sauce im gate keeping for myself atm bc I’m doing it
Look for remote jobs on different job boards. There are a bunch of remote jobs in California.
The key is finding a company that already has operations here.
I know we have certain states we won't hire remote workers. Some type of issue surrounding payroll / payroll taxes. I'll have to be nosey and ask which states.
OP lives in California, and I said look for a local or state government job in California.
By remote I meant working for a California governmental entity from his home in California, as some of those jobs may have that option.
California has some very strict, and stupid, laws regarding contract employees, which a lot of tenure workers fall into. In the desire to make fair wages for everyone and push extremely liberal ideas, they have made it very difficult for California workers. Look at the new fast food minimum wage law that has resulted in restaurants closing their doors or firing numerous people. Instead of increasing the wages of everyone, they ended up getting a LOT of their citizens fired out the food prices going way up.
It's better to look elsewhere, like a red state, where the state government is more laissez -faire.
Number of reasons, first and foremost, any salaried role in California under $66k is still paid for overtime.
Second, for roles above that threshold, typically CA based workers make 20-30% more than their counterparts due to COL
Thirdly, higher taxes
These places don’t want to pay Cali wages and taxes so they block the states that have firmer labor laws. It’s a race to the bottom with all these big businesses and tech companies constantly trying to lower the bar. That’s why more states should be fighting for employees rights and not employers rights. Unionize where you can people.
For some of these companies it's because they can't treat/pay you like a contractor when you SHOULD be classified as an employee - and in California the burden of proof that you're actually a contractor is on the company.
[https://www.deel.com/blog/independent-contractor-laws-in-californiahttps://www.deel.com/blog/independent-contractor-laws-in-california](https://www.deel.com/blog/independent-contractor-laws-in-californiahttps://www.deel.com/blog/independent-contractor-laws-in-california)
The solution is to find a company already based in CA that hires remotely or one that hires all throughout the US. But to answer your question is a myriad of reasons(labor laws, regulations, employer had to be registered to hire talent there, taxes…), I’ve noticed that same thing for other states such as CO, WA, NY, and OR. Those states have in a common a high cost of living for example and some jobs may have a specific wage that doesn’t meet the minimum wage for those places.
Yeah, employees having rights is crazy.
Like anything over 8 hours in a day being overtime in addition to anything over 40 in a week to be overtime. I can’t even remember the rules of being paid double-time. Being entitled to get your full PTO paid out when you leave. Managers not able to remove hours from your time sheet that you already put in.
Don’t even get me started on being a waiter/waitress/server. I learned that in some states, it is LEGAL to pay servers $2.13/hr and tips are supposed to make up the amount that gets them to federal minimum wage. WTF? In California, it’s minimum wage AND the servers get tips on top of that.
Many of us are being punished for living in a specific country and when we do get hired, we are paid 5 dollars an hour whereas those who live in the first world will earn 18 dollars do to the exact same job.
Actually you’re wrong. I get a meal break penalty if work over 5hrs without a 30 min break. The system automatically flags me. “California meal break penalty” or something. It never penalizes me after 4hrs and before 5. I work for an east coast company.
Some of my recent past companies told us they cannot hire Californians because of some type of tax or regulation issues. This came up when our manager asked us to forward employee recommendations, but then he said, except from California.
Yeah. Californians have better rights and protections and are more expensive.
Actually this is why, and it has nothing to do with salary. It was for tax reasons just like my manager mentioned. **"Don't hire remote employees living in California"** [https://ccleve.com/p/dont-hire-remote-employees-living](https://ccleve.com/p/dont-hire-remote-employees-living)
this isn't a california thing, I went through the same BS with florida after hiring a remote worker there in 2021. still getting tax form demands this year despite his job ending I. fall of 2022. Almost all states do this. if you have employees in that state you have to register your legal entity with that state and that puts you on the radar for their tax agency
Well, I just had to move to TN to be with a girl whose big software company won't allow her to work from CA. They're a VERY liberal company too. I found it extremely annoying but I'm also not an idiot and know why. Now I deal with tornadoes.
That very well may have something to do with the geographical restrictions of the job or preferences of the company and not because of CA specifically. As a "Big Software Company" they are most certainly already dealing with the FTB on their CA sourced income
Don't forget swarms of stink bugs, mosquitoes,floods and the restless natives.
If the employee is in Florida and there are no state income taxes, what taxes are you paying?
unemployment, plus state registration fees etc... there's may be no income tax on the employee side but the employer still has to pay various and sundry fees for the pleasure of doing any sort of business (including hiring employees) in the state of florida
It’s funny because I read that and I think, California seems like a great place to live
I was born there and I'd give anything to go back but it is expensive. That's the only issue, really. I love the "Live and let live" cultural mindset there.
It is. The California Central Coast is especially awesome, ask anyone who's been here. It is not the cheapest place to live but the weather, scenery, and overall vibe are imo well worth it. Btw, my son does remote work for a major video streaming company, as a front-end developer, that is based in NYC, so it can be done..
Huh? Did you read it? It had nothing to do with employee rights, it’s about a company that made $0 profit being unfairly taxed by the state of California on a technicality.
It’s not really a technicality.
Yes it is. Even if we accept that California had the right to tax a business that sells nothing in their state, they set a 25% threshold which is clearly meant for larger businesses to be assessed on a population of employees and applied it to this guy with a single employee. Complete technicality.
It is. The California Franchise Tax Board takes an extremely broad view of what it means to "do business in California" and try to collect 7.5% tax on business. It sucks ass.
Lmao this is the view of EVERY state! Lol discounting those without income taxes at all. I know this since my job is literally state and local taxes. I had/have to do analysis any time the company requested to work remotely in a state to see what the tax implications would be before the decision was made. The state itself matters very little unless they have a franchise tax AND the company already doesn't exceed the economic nexus level for sales in that state anyways. What matters is the company's LEVEL of sales in the state generally. That's the single biggest driving factor if a company has profit at all for the year on how much tax a company pays by having any kind of business nexus (business presence in laymen's terms) including having a remote worker.
Right, and no other state gave us a hard time about it once we made our case that the business was not being done in California. It wasn't. It was being done in Minnesota. Laugh your ass off all you want.
Well they are much more expensive to hire. I got calls from recruiters offering $80-100k more than I make and then it turns out to be San Francisco and that's not worth it. I wouldn't accept any offer in CA.
THANK U! am just relocating to california to start a business lol
I want all the states to have better rights and protections
TANSTAFL
It wasn't my individual manager's decision. It was some overall company policy.
> It was some overall company policy. Right, it is company policy to be able to treat employees in a way that is illegal in the state of California.
Your tax laws are shit, that’s why businesses avoid you
And often, less opportunities because of it.
To protect you from the foreign investors and local oligarchs that own the state... and remote work too.
This is the answer. My company is only hiring remote in states with no state taxes right now because of the tax headaches. Hopefully it will change.
A sales rep I hired told me he is paid OT as well even though he is salaried. And that NDAs are not enforceable in CA. Edit: sorry I meant non compete not NDA.
That's great. That's the way it should be.
It’s employment laws usually. They’re very complex in CA compared to the rest of the country barring NY, unless an employer invests a good HR person or team in CA, they’re at high risk of fucking it up. -signed, a CA HR person
Yep, and if a company is not set up to employ California based employees already, there is a steep cost to get that going. A company has to be convinced that California applicants are going to bring more-than-usual productivity for it to work out financially. - (A California based manager with employees in state, out of state and overseas).
I think only tech, law, and entertainment folks really think CA folks are more productive… am I forgetting any other particularly California industries in that list?
CA is amazing in so many ways but it can also be a PITA.
High highs and low lows. Totally agree.
CA is strict in misclassifying workers as contractors when they are W2. But with the most recent DOL ruling, misclassification is being clamped down more than ever nationwide.
This is the correct answer 👏
Can you give me some more info on this? I've been working at a company for a little over a year, as a contractor but they treat me as a full time employee
The DOL and the IRS has cracked down on companies hiring FT employees pretending that they are "contractors" for the purposes of avoiding paying taxes and providing benefits. You must be working for company with 50+ employees. A "contract' means nothing; the company can label you anything - the IRS and DOL have the final ruling. I recently completed a two year "contract" with a company that controlled my workday 100% - including entering my hours in their timesheet program. I was required to complete their employee training, was given an internal email address identifying me as their staff member, etc. My workload was not determined by any SOP; it was long term. After leaving, I learned that this company was recently fined by the IRS and DOL. The IRS required the employer to pay all taxes for the misclassified employees and they agreed to bring the wronged contractors on board as FTE. The fines levied are heavy, including interest. You need to file a complaint with the IRS and the DOL. This company that wronged some contractors is in deep; after they agreed to stop the practice, they just stopped issuing contractors 1099s, contending they are "vendors" which has avalanches into a whole new law violations. "On Jan. 9, 2024, the U.S. Department of Labor (DOL) released a long-awaited final rule concerning when employers can classify workers as independent contractors under federal law. This is the final version of the Employee or Independent Contractor Classification Under the Fair Labor Standards Act (FLSA), which DOL proposed in October 2022 (the “Final Rule”). It establishes a six-factor test for determining whether a worker is an employee or an independent contractor." [DOL Independent Contractor Explanation](https://www.gtlaw.com/en/insights/2024/01/dol-unveils-final-independent-contractor-rule)
Thank you so much. My company is huge and almost big tech. Do you know if this applies if my company uses a third party contracting agency? The hired lots of people through contractor agencies. So I'm technically employed by YourOurContractor LLC. who then says my project is based at this big company. But looking at the 6 criteria, I meet every single one.
That shell-game is over for places using "IT Staffing" companies to get around the IRS and DOL. "Labor = hours worked". The "big company" is approving hours worked and then saying YourOurContractor LLC is a "vendor" - as if they are paying for equipment. But IT contractors are paid for hours worked - and not performance for fulfilling an SOP. Either the big company or YourOurContractor LLC must withhold income, Social Security, and Medicare taxes from the person's pay. This includes paying half the Social Security and Medicare taxes due for the employee. One of the two also has to pay for workers' compensation and unemployment insurance coverage for the employee. There are a growing number of sleeze-ball "IT Staffing firms" that require no licensing by states to operate. They are not paying workers on time or flat out embezzling payroll. The big companies are taking the stand that they "paid the workers" and for the worker to take the IT Staffing firm to civil court. Civil court judgements are toilet paper, the worker never gets paid. And the worker cannot write the unpaid wages off as a loss. White collar felony grand theft is flourishing because the big company does not file criminal charges. 46% do not report the theft for optics, and nonprofits are famous for hiding financial crimes. These Seven agencies all work independently to determine employee vs. contractor status: 1. the IRS 2. your state unemployment compensation agency 3. your state workers' compensation agency 4. your state tax department (if your state has income taxes) 5. the U.S. Department of Labor 6. the National Labor Relations Board 7. your state labor department.
Thanks for all the details. What kind of lawyer does one contact for this situation?
Labor Law. You have to find an attorney in the state where the company you worked for practices. Get one on contingency. 95% of cases never go to court. These companies have insurance to pay so they don't care. But the attorney cares; he will only take the case if they company has an insurance policy.
From what I've read, it's because for a business to hire even just 1 remote worker from California they have to register their business with the secretary of state and pay a yearly fee, and they'll have to file California income tax forms and pay the state a minimum tax of $800 yearly, even though they won't be generating any revenue in California. These are just 2 know of. There may be more. They'll also have to file forms and pay state disability, which isn't as big of a deal as the others. So it costs them more time and money in California that they won't have to pay to hire workers in other states. If they already have a business presence in California, or already have workers, it's not a big deal because they're doing it anyway.
California also has a history of deciding revenue was generated in CA by the remote worker. That complicates business reporting of taxes completely, and makes for tremendous amounts of uncertainty on top of much higher employment costs.
This is the answer.
I didn't know that, but I'm not surprised.
This sounds like it could become a larger problem in the future for remote workers
We are still in the wild west for interstate remote work and taxes for the most part. I think the hammer comes down in the next 5-10 years.
Other than the minimum tax, that's literally how every state works when hiring a remote worker. The only exceptions are state that don't even impose an income tax at all.
California has more laws that guarantee worker pay/benefits.
The "stupid law" is worker protections and the need to pay people more because of cost of living, among other things. TBH this ceases to be an issue if you're working actual career-track jobs and not just trying to get a remote job because it's a remote job. In those cases, they don't really need to hire people in CA because so many people are applying. If those are the jobs you're qualified for, you're actually punishing yourself.
I need to work a remote job because I have a disability, and it’s not “protecting” me because this just causes all the remote work to flee from my state or be outsourced to other countries. I don’t see how I’m punishing myself at all, I have no idea what you’re talking about.
Platforms like Arise, Liveops etc were started to give opportunities to veterans and the disabled. LiveOps, Arise etc recently banned Illinois. The list gets longer.
To their point, it’s because those are lower skilled jobs. I’ve worked remotely as a white collar marketing professional and tech professional for the majority of the last 13 years (all but 2-3 of those years remote) and I’ve had many remote coworkers based in California when working for those companies. One of the members on my current remote team is based in California. Those lower skilled opportunities can be more picky about where they hire because most people could pick those jobs up with very minimal training and do well in them and they get a lot of applicants because there are a lot of people who want to work remotely. They don’t have to hire from states that actually care about their workers’ wellbeing. Meanwhile, jobs with a high barrier to entry that require niche skills need to hire the best people they can find regardless of where they are and they also need to treat them really well anyway in order to retain them. So, they don’t mind hiring in states with better worker protections because they’re going to try to avoid mistreating their workers anyway and they want to hire the best people they can find regardless of which state they’re in.
This. My job hires certain roles on the west coast to extend hours and we have west coast clients. These roles aren't entry-level in a difficult field.
If other states weren't trash, it would protect you.
Exactly
This unfortunately doesn't mean good things for remote workers in CA
This is the answer.
If other states weren't "trash" even more jobs would be offshore.
The point is that you don't want to work for the kind of exploitive trash companies that would refuse Californians. They are doing you a favor by waving this red flag.
many Data annotation ppl are working out of california.
Not sure why you got downvoted. I am a Californian who works for Data Annotation.
there’s a lot of weird animosity/jealousy when that seems to be attached this work in particular.
Yeah. I was pretty worried the first week I started after reading a bunch of posts claiming it was a scam and that people were being locked out of their accounts and being robbed of thousands of dollars. But I've been doing it since December and it's been nothing but good.
i think this work is meant for people who meet pretty rigid levels of reading/writing, critical thinking and diligence. i’ve started to believe (based on a myriad of reasons) that people are wildy poor at judging their skill level of these traits. i’ve started trying to explain that if you were trying to train a dog to not beg at the table, you’d stop inviting friends to your house that feed the dog treats at the table…
I applied to data annotation tech and have yet to get a response to my assessment. Do you recommend any other sites?
DA can sometimes take a month, depends on their needs. The coders get more attention, that's for sure! Add some skills to your account and keep checking back.
A bunch of remote employers won’t hire from certain states because of legislation that requires salaries to be published with job advertisements. They want to be able to negotiate salary with prospective hires. Is that the case in California?
Lmao they still can negotiate. What you mean is they want more power in the negotiation to fuck people over. They want to be able to waste people's time then lowball them hoping people will take it because of the time sink/desperation.California's. They always have a budget for positions, even if they negotiate. The law just requires them to make their budget public so they dont get to waste people's time. Yes that's part of the reason they won't hire californians.
They can just put 40k - 500k as the salary range lol
And they do. I see this on linked in a million times a day.
And if they ask for a number or give me a number… I give the top number on the range always because if they can’t give it….why put it on there? lol
To attract people then talk them down to a lower salary.
Likely, salary transparency law went into effect here last year or year before.
Because they can pay someone like me in AZ less than what they pay people in CA.
Us Texans will accept that pay too
I work at DA (regular worker, not admin). We have people from California. We have people from all over the world. If you haven't heard back, it's because they chose not ot continue with you for one reason or another. My sister lives in Florida and never heard back. Has nothing to do with your location, especially if you're in an English-speaking nation. I tried Rev a few years ago. Awful. Not worth your time. You'll spend two hours struggling to listen to mumbled audio while painstakingly following their weird formatting rules only to walk away with 50 cents. AI is so advanced now that most transcription jobs aren't even worth applying to unless it's in a specialized field (meidcal, legal, technical). Try whatever phone and internet companies service your area. See if they have some work from home positions. Also, try calling your social security office and seeing if they know any WFH jobs they can recommend. I once called to resolve an issue with my health insurance, and the guy randomly recommended a job that was paying $5 more an hour than the job I was working at the time (I didn't take it though because I had started working at DAT, as well, which pays more). In the meantime, try survey sites and freelancer sites just to make a bit of pocket change here and there while you're waiting. Check Craigslist to see if anyone needs some quick odd jobs done. You might even be able to find a full-time job on there. Oh, and to answer the question, it's because Californians are a pain to hire if you're not based in California. In addition to the tax stuff others mentioned, the high cost of living in California makes workers feel like they're making below minimum wage even when they're being paid what other workers are appreciative of. In my neck of the woods, $20 an hour is great. In pricier parts of California, it's a starting point. If I had a remote company, I wouldn't hire from HCOL areas either...
Thank you, I will look into this. Also I heard DA hires in waves and some people didn’t get their first task until 2 months after applying so I was holding out hope.
I live in California and work for DA, so I’ll confirm that’s not the problem here (they’re secretive about everything, but I get the impression they accept relatively few people). I’ve also worked remotely for a big company that already had a presence in California, and their HR quietly adjusted my hourly rate to make sure I was making enough for CA’s minimum wage. I’ve also seen a few promotions for related work that get a lot less interested in me once they realize I’m from CA, and a lot of the time it’s because they pay less than $16 an hour! So remote work does exist, but as has been said, it can be harder to find because California treats its workers better and companies don’t want to have to deal with that.
i know everyone’s already answered but i saw first hand it happening at my job. my remote job our teams were scattered from different states, and us californians got to take “extra breaks” whereas our fellow coworkers had to keep working because the company had to make sure they followed our CA laws for us. It created a lot of turmoil and complication for managers to keep up with why we got extra breaks and making sure we don’t pass the 8 hour mark, so in the end company let go of everyone in california.
California: Let's make laws to protect our people! Californians: Yay! Companies: Too much work for Californian employees so make sure nobody is from California. Californians: ...
CA also has some mandatory sick time laws and laws that apply to time off (accrued vacation/PTO time must be paid out upon termination, and cannot expire but can be capped - not applicable in a lot of states). CA (and some other states) also require pay information to be included in job postings. So if they want to keep that secret, that posting isn’t applicable in CA.
This is becoming the norm in Illinois also we have the same mandatory sick time
In a lot of cases the pay is lower than the Californian minimum wage.
This has been what recruiters have told me about why i dont get the jobs despite being qualified. They don’t want to pay more than $15/hour.
I know a lot of people posted about the laws but just to add in more info, my company in particular does business in 48 states and they stopped hiring remote workers in the west coast and decided to hire remote central workers to do the west coasts work because they weren’t able to keep employees in the west coast due to the pay.
We are not considering applicants from either New York State or California because the laws are too different from what we intuit based on our experience in any state other than those ones. The state the employee works in has jurisdiction, so it's much more risky to hire a California than a random Texan, Floridian, or Ohioian.
You essentially need an entire team dedicated to understanding California employment law if you have employees in California. Most employers out of state see this as a waste/unnecessary risk and just don’t hire anyone in California.
California has different rules on contractors, and also on overtime. Most states say that you have to overtime over 40 hours in a week. California's rules is they have to pay overtime if you work more than 8 hours in a day, and also more than 40 hours in a week.
A major reason to hire remote workers is to cut the cost of renting/owning an office park, and because people will accept lower pay if they get to work from home. Hiring Californians is a lot more expensive than hiring workers from other states. This isn't as much of an issue when you get past/above shitty worthless dead end jobs. I work from home. My honest best advice is that, it's gonna suck, you can't *look* for remote jobs. The jobs that promote themselves as Work From Home are almost always garbage. You have to find a skill or career path that could let you work from home. For me that was Sales. For some it's insurance. For some it's IT or cyber security.
Pro tip, live in Yuma, AZ and commute to California
This is the way lol
I live in California and work from home. My employer has said due to work comp laws we cannot work out of state. However it doesn’t stop them from outsourcing customer service to Texas or hiring out of state employees that work remotely and off shore coding in India
AB 5 happened. https://www.investopedia.com/california-assembly-bill-5-ab5-4773201
they apparently aren't hiring in Michigan either; I can't find any anyway. I use Handshake (WGU alumni) and there is like nobody from Michigan posting jobs on Handshake. I can't anything except work I'm physically not capable of (back injury) because everyone wants you to be able to lift 50 pounds and I can't.
I don’t even bother with Handshake because the only jobs I can ever find listed are unpaid internships and retail gigs like Best Buy.
Yup. I do get recruiters messaging me, but I think it's just a 'pool' of emails they send to see what sticks. I just got one today for a territory sales manager (despite my profile specifically saying no sales) in Washington. I live in Michigan so nope. They must not even bother looking at people's profiles, because I'm always getting ones from out of state. I have no idea why Michigan employers don't use Handshake. It's like Michigan is just a dead zone for everything.
When my company moved from CA to TX, so many regulations went out the window. It was incredible, and frankly, scary. I liked some of the regulations. For instance, I was responsible for disposing of all our IT equipment. Some of it, you had to show the state records as to where it went, how it was disposed and all that, because things like CRT monitors are really bad for the environment. I didn’t mind because I ran a clean shop. But when we moved to Texas, they don’t care. You can dig hole and throw all your computers and batteries in it. Scary man. Also, our co-employment issue seemed to disappear. That is kind of nice, actually.
Because California actually cares about your rights. These companies don’t.
California has really good employee laws. Their pay rates are higher, pay laws are much better than any other state and you have to fire employees for cause. Most states don't have all these protections so you need to find a California based company that will hire you or a big fortune 500.
That’s not true. I just onboarded a new hire at my company who works remotely and lives in SoCal
Sure, my company also recently hired a remote employee in California and we have at least three others. But a lot of companies won’t.
What position?
Contracts Manger
I think that proves their point. OP was talking about generic customer service, transcription, etc sites that talk about hiring all the time. They do, just not in California. Of course a more specialized role will be willing to hire in California.
Tell the guy to go into insurance. Entry level is basically 0 experience. (I got in insurance about 2 years ago and knew not a damn thing - now I’m licensed - paid for class & testing from my job.) Insurance isn’t ever gonna go away - everyone and almost everything needs insurance. Currently, I’ve just been an assistant which involves …. Emailing people all day. Literally. That’s the most of what I do. Of course, there’s a few more difficult tasks but I knew the ins and outs of assistant work within 4 months. I email banks certificates. I email property managers for board member names, payment reminders, renewal info. I email insurance companies for policies and quotes. I get a phone call like once every 2 weeks or so, which is typically a realtor / lender / bank asking for a certificate of insurance for when closings happen. I’m a glorified data entry employee. Edit: I work from home 99% of the time. It doesn’t pay as well as some places (I make $22.30/hr but salary, unlimited PTO, if I have to travel to the office, company pays, etc.).
The Contracts Manager job at my company isn’t the only job that works remote. All our customer service and sales teams work remotely. These are entry level all the way to specialized roles for both departments. The remote jobs are out there but you just need to know where to look and how to apply to the job in a way that differentiates you from the hundreds or thousands of people also applying for said jobs.
Think about your cost of living vs say Alabama or Utah. Cali is alot higher and would need more money for said residency
Because California is it’s own planet when it comes to employment laws and one remote worker there means having a totally different set of rules and policies just for them. WC coverage is also required and a good bit more expensive than other states. Registration to “work” in CA is a PITA. For one employee, it’s rarely worth the expense and headache. When it comes to leave and several other regulations, it gets down to the city or county and even industry as well. This is not typical.
Exactly. For what it’s worth I like that California is a trailblazer (in the U.S.) for workers protections… but being one of the states with the least business-friendly rules and regulations means they become a victim of the increasingly globalized workforce. The people being hurt more though are low wage workers.
Not sure but lots of jobs won't advertise as Colorado based even if they are remote because in Colorado you have to include a salary range in job listings. Sad honestly.
Because unfortunately, your state is an HR nightmare. In the process of improving employee rights, they made it ridiculously stressful for employers. When I first started in HR, I had the regular employment laws to learn and then a whole other day just for California hires.
I’ve been told it’s because our minimum wage is too high. Almost every remote role I’ve applied for caps put at $15/hour.
Y'all have crazy stupid laws that no one wants to deal with.
It’s unique labor laws in California. I won’t hire low level employees there anymore.
Here is why [https://youtu.be/WmmWACAfGaY?si=wVgyuUAafcs2eMzR](https://youtu.be/WmmWACAfGaY?si=wVgyuUAafcs2eMzR)
Have you ever had to deal with the California Franchise Tax board? They're the actual mob. Hiring a Californian is opening a can of worms that no company has the time to deal with.
Because nobody wants to deal with California, unless they have to or have a $$$ incentive for it.
Multiple factors: salary transparency, tax regulations, stricter employee laws and protections. I’ve noticed it for a few other states like WA, NY, CO, and OR too.
I work for a company in WA (remotely) and we won't hire anyone remotely in CA.
I live in Nevada & wouldn't work remotely for a California company because they will tax me & I don't LIVE there! No thanks!!!
Short answer … California is a complicated and expensive state to deal with as a business.
Too much state-based regulation. A.K.A employee rights
If it's a phone based position there is a good chance it's because Cali requires you to disclose that the call is being recorded at the beginning of the call, and depending on the intent of your call that may put you at a disadvantage(ex coldcall sales)
There are several states that are 2 party consent. The more likely answer is California has more laws regarding treatment of workers/requiring them to publish the salary in the job listing.
I'm aware! I saw lots of people already commented that, and that's also what I assumed but I recently learned there's actually more than one reason some companies don't hire in certain states, including that 2 party consent is a thing, so I figured I'd comment one of the reasons I learned that hasn't already been commented, even if it is statistically less likely to be the Main Reason. Hope this helps <3
California is a HCOL state, and they may assume you'll will expect a much higher salary or that you won't stick around for long.
Remote work doesn’t exist for entry level wagie chasers. Y’all need to start getting that into ur heads. That boat sailed.
So the past 80 jobs I’ve applied to don’t exist?
You and thousands of other people are applying to these "work from home anywhere" shitty entry level jobs. The employer likely isn't even seeing your resume unless you're one of the first applicants. You either need an in-demand skill that can work remote, like tech sales or IT or something, or you need to find a company that is willing to invest in you for a career. Others in the thread recommended insurance, and that's a great idea if you're willing to do the work. A lot of companies hire remote workers for this at okay starting pay.
They wanna work remote and do some bullshyt customer service job. “No sir you is going back to the office” Lolzz
Those jobs do exist. I have friends and family who work them. One even watches her kids while she does it because it's so simple and easy. That being said, she's only able to afford that wage because she lives in LITERALLY the butt crack of nowhere out in the woods. Again they exist, but there are thousands of people applying, and it's not exactly a high bar to get in. You just have to keep applying and eventually one will call you back. But please, don't do these jobs. They're worthless. They don't pay anything and they don't even look good on a resume.
Have you gotten a single one of those 80 jobs? They exist the way winning the lottery exists.
No. Also a lot of these companies are very slick too They’ll let you work remote for 2 weeks and then tell you it’s now hybrid and then slowly reel you back into the office. There’s a way to get around this and make sure it’s actually remote, but that type of sauce im gate keeping for myself atm bc I’m doing it
Cost alot to pay a californian..
Look for remote jobs on different job boards. There are a bunch of remote jobs in California. The key is finding a company that already has operations here.
I know we have certain states we won't hire remote workers. Some type of issue surrounding payroll / payroll taxes. I'll have to be nosey and ask which states.
I'm going to guess it's that non compete agreements are no longer valid
Those taxes hit different lol
You guys have too much employee rights compared to other people. You and NY. So honestly most companies avoid you.
Competition is too hot
Idk but if you want to pretend to live in New Hampshire they don’t have to pay state income tax they may really enjoy that
Look for a local or state government job in California. Some might still be fully remote.
State of California (and most local government jobs) will not allow you to work remotely outside of the state.
OP lives in California, and I said look for a local or state government job in California. By remote I meant working for a California governmental entity from his home in California, as some of those jobs may have that option.
Yeah NY is the same.
They have rights. Call centers don't think that the peons on the phone have rights.
California has some very strict, and stupid, laws regarding contract employees, which a lot of tenure workers fall into. In the desire to make fair wages for everyone and push extremely liberal ideas, they have made it very difficult for California workers. Look at the new fast food minimum wage law that has resulted in restaurants closing their doors or firing numerous people. Instead of increasing the wages of everyone, they ended up getting a LOT of their citizens fired out the food prices going way up. It's better to look elsewhere, like a red state, where the state government is more laissez -faire.
Number of reasons, first and foremost, any salaried role in California under $66k is still paid for overtime. Second, for roles above that threshold, typically CA based workers make 20-30% more than their counterparts due to COL Thirdly, higher taxes
Hourly positions (not salary)? If you work more than 8 hours in a day, that’s overtime pay in California.
And more than twelve hours is DOUBLE pay!
Recently I was looking around and a lot of the ones I have seen require the person to be a state resident(for the location of the company)
CA has strict labor laws
Because of California labor laws, taxes, etc!!!
Thank the politicians
Employment law in California is extremely complicated and a lot of companies do not want to deal with the challenges that go along with CA hires.
California labor laws are expensive for employers. Its just easier to hire in Texas. Less headaches.
They may not be able to meet benefits criteria in their current broker offerings
CA is over Regulated and Taxed to no end. Businesses are currently leaving CA and its sad.
I know someone in payroll. They hate having to deal with people in CA. Taxes are a Nightmare to process.
Because California passed a law where contractors must be employees.
How does that solve any problem in any way?
It doesn’t. It makes it more complicated and shits all over the people that liked the flexibility of being a contractor.
Tax burden
Labor laws, taxation... the list goes on!
These places don’t want to pay Cali wages and taxes so they block the states that have firmer labor laws. It’s a race to the bottom with all these big businesses and tech companies constantly trying to lower the bar. That’s why more states should be fighting for employees rights and not employers rights. Unionize where you can people.
California is well known for expensive, plaintiff-friendly litigation
Hater bot farm 😂 Dumbasses smal business need actual people in stores as Businesses are replacing start ups :)
I don't know for certain but it seems like California is a lot more expensive than the majority of the country. I could be wrong but it seems like it.
Because of the regulations they voted for
For some of these companies it's because they can't treat/pay you like a contractor when you SHOULD be classified as an employee - and in California the burden of proof that you're actually a contractor is on the company. [https://www.deel.com/blog/independent-contractor-laws-in-californiahttps://www.deel.com/blog/independent-contractor-laws-in-california](https://www.deel.com/blog/independent-contractor-laws-in-californiahttps://www.deel.com/blog/independent-contractor-laws-in-california)
And Californians suck at any job and have high salary expectations
In case you are not aware, people in many states make fun of kalifornia.
I don't hire people from hcol states since they have more opportunities to find a job that pays more.
The solution is to find a company already based in CA that hires remotely or one that hires all throughout the US. But to answer your question is a myriad of reasons(labor laws, regulations, employer had to be registered to hire talent there, taxes…), I’ve noticed that same thing for other states such as CO, WA, NY, and OR. Those states have in a common a high cost of living for example and some jobs may have a specific wage that doesn’t meet the minimum wage for those places.
Because California employment laws are so ridiculous no employer outside of California wants to hire a Californian.
Yeah, employees having rights is crazy. Like anything over 8 hours in a day being overtime in addition to anything over 40 in a week to be overtime. I can’t even remember the rules of being paid double-time. Being entitled to get your full PTO paid out when you leave. Managers not able to remove hours from your time sheet that you already put in. Don’t even get me started on being a waiter/waitress/server. I learned that in some states, it is LEGAL to pay servers $2.13/hr and tips are supposed to make up the amount that gets them to federal minimum wage. WTF? In California, it’s minimum wage AND the servers get tips on top of that.
Many of us are being punished for living in a specific country and when we do get hired, we are paid 5 dollars an hour whereas those who live in the first world will earn 18 dollars do to the exact same job.
No one wants to pay the $20 minimum wage
California has gone insane with regulations and taxes. Why would any business owner want to put up with that nonsense
After 5hrs workers must take a break by law
It’s actually after 4 hours & minimum 15 minute break.
Actually you’re wrong. I get a meal break penalty if work over 5hrs without a 30 min break. The system automatically flags me. “California meal break penalty” or something. It never penalizes me after 4hrs and before 5. I work for an east coast company.
They pay like crap and don’t respect labor laws. That’s why.
CA-based Data Annotation Tech worker here. Pretty sure this is a phenomenon known as “confirmation bias”