Cheerleaders are Employees – Not Independent Contractors

Companies frequently try to squirrel out of having to pay payroll taxes and benefits to employees by calling them “independent contractors.” Employees are frequently misclassified this way. One popular example are sports cheerleaders. Governor Brown recently signed AB 202 which adds Section 2754 to the Labor Code, providing that cheerleaders for California-based professional sports teams are employees, rather than independent contractors. The statute applies “for purposes of all of the provisions of state law that govern employment, including the Labor Code, the Unemployment Insurance Code, and the California Fair Employment and Housing Act.” The new law goes into effect on January 1, 2016. After that date, the Chargers, Raiders, 49ers, Angels, Dodgers, Lakers, Clippers and all of the other sports teams will have to pay their “cheer” staff an hourly wage, overtime, and all the other perks of employment.