Fix the Workers Comp Legislation!

Let's build a cooperative economy in California!Worker cooperatives around California are being impacted by a new law requiring worker-owners to purchase workers compensation insurance. As a result, many cooperatives will have to cut worker pay and benefits. Will you join us in the effort to change the law?

Background on the Current Workers Compensation Legislation

In 2016, the California Legislature passed AB 2883, making changes to the workers compensation law that failed to take into account and will have an adverse impact on cooperatives. Previously, workers compensation insurance was not required for managing owners of businesses. This is still true for LLCs and partnerships, but AB 2883 made a very significant change for corporations, requiring that an owner hold at least 15% of the shares in order to waive workers compensation coverage. AB 2883 failed to consider the impact on cooperatives where members manage an enterprise collectively.

Previously, some worker cooperatives in California chose not to obtain workers compensation insurance for managing owners, opting instead to apply those funds toward health insurance, long-term disability insurance, or higher wages. In some industries, such as in food businesses, the cost of workers comp insurance will reduce workers’ take-home pay by as much as 15%. One worker-owned cafe has reported that AB 2883 will cause the cooperative to lose $200,000 in 2017. This is a substantial setback for the worker cooperative movement at a time when worker-ownership has been recognized as a path to better and more stable livelihoods in California. The new Labor Code laws as passed under AB 2883 have major implications. Read our guide on how to navigate the new worker's comp law on our blog here!

What's Next?We've done it before! Let's do it again!

Worker-owners of a handful of cooperatives, including The Cheese Board Collective, Three Stone Hearth, Home Green Home, Drought Smart, Arizmendi Bakery, and Echo Adventures Team, have convened to form a campaign working group to change the law. Right now, we are gathering support from other cooperatives and organizations impacted by AB 2883.

Sign the Petition

This petition will call on California legislators to pass a bill that would give cooperatives the right to opt out of the workers compensation requirement. The bill would essentially restore the previous provisions of the law in its application to Cooperative Corporations: In cooperatives where all members serve as officers or directors, those members will be allowed to waive workers compensation coverage.

By adding your name to the petition, you are indicating your support for a bill that would allow cooperatives to opt out of the workers compensation requirement.

100 signatures

Will you sign?

Showing 38 reactions

  • Max Golding
    signed 2023-11-20 17:06:34 -0800
  • Sarkari Result
    signed 2018-05-11 11:34:53 -0700
  • MelissaAnnCassandraThomas Burrell
    signed 2017-09-18 03:23:23 -0700
  • William Curtis
    signed 2017-09-14 23:00:26 -0700
  • Cameron Rhudy
    signed 2017-06-09 14:27:59 -0700
  • Yassi Eskandari
    signed 2017-04-20 13:12:50 -0700
  • Melissa Macias
    posted about this on Facebook 2017-04-16 14:34:08 -0700
    Sign the #AB2883 Campaign petition! Help us fix the law that's crippling #worker #coops across #California!
  • Andrea Iannone
    signed 2017-04-10 15:32:26 -0700
  • Ashley Ortiz
    signed 2017-04-06 08:11:11 -0700
  • Chris Cuellar
    signed 2017-04-05 17:26:50 -0700
  • Joel Magdaleno
    signed 2017-04-02 23:14:11 -0700
  • Ellen Liversidge
    signed 2017-04-02 14:01:41 -0700
  • Jeff Franklin
    signed 2017-04-02 08:41:16 -0700
  • Ross Heckmann
    @RossHeckmann tweeted link to this page. 2017-03-31 19:01:28 -0700
    Sign the #AB2883 Campaign petition! Help us fix the law that's crippling #worker #coops across #California!
  • Ross Heckmann
    signed 2017-03-31 19:01:07 -0700
  • Christopher Gonzalez
    signed 2017-03-31 13:09:31 -0700
  • damon lawrence
    signed 2017-03-31 12:34:33 -0700
  • Zachary Wolinsky
    signed 2017-03-26 13:20:09 -0700
  • Mario Noble
    signed 2017-02-07 10:29:45 -0800
  • Maia Lipkin
    signed 2017-02-02 08:31:55 -0800
  • Aysha Massell
    signed 2017-01-31 23:49:26 -0800
  • Charlotte Tsui
    signed 2017-01-31 09:55:29 -0800
  • Calah Lopez
    signed 2017-01-18 14:45:28 -0800
  • Neil Thapar
    signed 2017-01-14 19:32:35 -0800
  • Jenny Loda
    signed 2017-01-10 20:36:48 -0800
  • Grayson Curtis
    signed 2017-01-10 20:23:31 -0800
  • Lucy O'Dea
    signed 2017-01-10 20:20:34 -0800
  • Carolyn Berke
    signed 2017-01-10 20:16:06 -0800
  • Emil Oatfield
    signed 2017-01-10 17:39:34 -0800
  • Nicolia Mehrling
    signed 2016-12-29 10:43:15 -0800

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