Daily Business Report: Wednesday, March 15, 2023
Court upholds California Prop. 22 in big
win for gig firms like Lyft and Uber
By Grace Gedye | CalMatters
In the winding story of California’s gig worker laws, another chapter has come to a close.
Justices in a California court of appeals ruled Monday that Proposition 22 — a 2020 ballot measure that allowed Uber, Lyft, and other platforms to classify their workers as independent contractors rather than employees — is largely constitutional, but that part of the measure is invalid.
The distinction between employees and contractors is important: Employees have the right to a host of benefits and protections like minimum wage, sick leave and family leave, unemployment and disability benefits, and more. But independent contractors don’t have the same rights.
The appeals court disagreed with a lower court that had ruled Prop. 22 was unconstitutional on the whole.
But the Monday ruling struck down part of Prop. 22 that they felt intruded on the Legislature and judiciary’s power. The court ruled that a section of the measure that defined legislation on certain topics — like unions for gig workers — as amendments to the Proposition was invalid.
“Today the Appeals Court chose to stand with powerful corporations over working people, allowing companies to buy their way out of our state’s labor laws and undermine our state constitution,” wrote Lorena Gonzalez Fletcher, executive secretary-treasurer of the California Labor Federation, an umbrella organization for labor unions, which opposed Prop. 22, in a statement. “Our system is broken. It would be an understatement to say we are disappointed by this decision.”
“Voters knew what they were voting on,” said Jennifer Barrera, president of the California Chamber of Commerce, a powerful business group which supported Prop. 22. “They wanted to maintain the flexibility for these gig workers and provide them the opportunity to do this work. And I think that’s ultimately, what the judge did is to uphold that flexibility.”
Top photo: App-based gig workers hold a demonstration outside Los Angeles City Hall to urge voters to vote no on Proposition 22. (Photo by Mike Blake, Reuters, via CalMatters)
Two San Diego banks have ties to those slammed
on the stock market by worried investors
Two San Diego banks have ties to those that were hammered on the stock market Monday in the wake of bank collapses. Investors, worried by the failures of Silicon Valley Bank last week and Signature Bank on Sunday, punished the stocks of several regional banks. Two of the hardest-hit were Western Alliance Bank and Zions Bank, parents of San Diego-based Torrey Pines Bank and California Bank & Trust. Western Alliance’s stock price was down 45 percent Monday, and Zions fell 25 percent. Almost all bank stocks were down, but smaller ones were hit hardest as investors focused on those that have a concentration of niche clientele and exposure to interest-rate risk as the Federal Reserve pushes rates higher to fight inflation.
Viasat offers new satellite internet plans
By Jane Reuter
Inflation has hit many Americans hard in the last year, making it harder to pay bills, yet for most people, the internet is a service they can’t do without. Thankfully, there is good news: Internet service providers like Viasat, working with the government, can help provide individuals and families in certain states with lower-cost internet service options.
The Connect America Fund (CAF) is a Federal Communications Commission (FCC) program designed to expand access to voice and broadband services.
It’s not the first time the U.S. has worked to extend services nationally. In the 20th century, the U.S. government extended electricity and phone service to rural America. In the 1950s and 60s, a similar program built the highway system. Recently, the FCC designed a program focused on bringing broadband to rural America.
Viasat is a participant in the CAF Phase II program. Through it, the company is offering plans with discounted satellite internet and phone service (Viasat Voice) to qualifying service areas. Click here to learn more about Viasat’s CAF II program. Viasat rolled out its program in Colorado at the end of 2021, and in an additional 19 states in early December 2022
SDCCD and San Diego Unified board
to hold joint meeting on March 21
The San Diego Community College District and the San Diego Unified School District governing boards will hold their annual joint session at 5 p.m. on Tuesday, March 21, 2023 inside the Logan-Memorial Educational Campus Theater, 2875 Ocean View Blvd., San Diego. Attendees will learn about the districts’ focus on college, career, civic engagement and global life readiness.
A new partnership starting June 13 between the SDCCD’s San Diego College of Continuing Education and the SDUSD, which permits high school students to earn a nursing assistant credential will be announced. A status report will also be provided on the San Diego Promise free tuition program, which launched in 2016. Initially limited to graduating high school seniors, the Promise has been expanded to allow previous community college students who have not been enrolled for three or more semesters (summer not included).
SDSU faculty address pandemic’s
lasting impact on young children and schools
By Michael Klitzing
Many preschool and elementary school classrooms are still feeling the impact of the COVID-19 crisis — particularly in low-income and immigrant communities hit hard by the pandemic. In its aftermath, children are still struggling to cope with trauma and lost opportunities for social-emotional development.
“Children came out of the pandemic with a lot of adverse experiences because there was way more poverty, death and illness,” said Lisa Linder, assistant professor in child and family development at San Diego State University. “Now everybody is trying to bounce back and it’s just not easy.”
A $600,000 earmark in the Consolidated Appropriations Act of 2023, signed into law by President Biden in December, will enable SDSU’s Center for Excellence in Early Development (CEED) to help address COVID’s toll on early childhood mental health across San Diego County.
Immune system drug shows promise
in treating alcohol use disorder
A clinical trial carried out at Scripps Research has shown that apremilast, approved by the U.S. Food and Drug Administration (FDA) for the treatment of psoriasis, cuts alcohol intake by more than half in people with severe alcohol use disorder (AUD). Collaborators at Oregon Health and Science University (OHSU) and other institutions also showed that, in mice, apremilast boosts activity in an area of the brain known to be involved in AUD.
The research was published online ahead of print by the Journal of Clinical Investigation on Jan. 19, 2023.
“We’re incredibly excited to have found a drug that has such a large effect size on alcohol consumption, and with such good tolerability and safety at the same time,” says co-senior author Barbara Mason, the Pearson Family Chair and Director of the Pearson Center for Alcohol and Addiction Research at Scripps Research.
Cubic honored as ‘Ticketing Enabler of the Year’
OLYMPIA, London — Cubic Transportation Systems, part of San Diego-based Cubic Corporation, has been named “Ticketing Enabler of the Year” in the 11th annual Transport Ticketing Awards program that recognizes today’s top companies, technologies and products in the global smart ticketing and mobility industry. The award was announced at the Transport Ticketing Global Summit held March 7-8 in Olympia, London. Cubic Transportation Systems’ platform enables customers to acquire new digital transit cards and purchase tickets without visiting a ticket kiosk or vending machine, offering enhanced flexibility and efficiency that reduces barriers to travel.
Feeding San Diego named charity partner
of 20th annual San Diego Restaurant Week
SAN DIEGO — Feeding San Diego has been named the charity partner of San Diego Restaurant Week this spring, which returns Sunday, March 26 through Sunday, April 2. This year marks the event’s 20th anniversary of welcoming San Diegans to participating county restaurants to enjoy specially priced prix-fixe meals. For every meal ordered during San Diego Restaurant Week, $2 will be donated to Feeding San Diego, up to $10,000, by Chef Works, a leading manufacturer of chef uniforms and chef wear programs within the food service and hospitality industries around the globe. The program will include presentations about the communication skills needed to launch a successful startup as well as to run a business or organization.
Voyager Toastmasters hosts March 16 meeting
for startups, entrepreneurs and organization leaders
SAN DIEGO — Voyagers Toastmasters, one of San Diego’s most dynamic Toastmaster clubs, announced a special March 16 meeting for startups, entrepreneurs and organization leaders. It will be on Zoom from 7 to 8:30 a.m. There is no cost to attend. The program will include presentations about the communication skills needed to be launch a successful startup as well as to run a business or organization. It will also include include training designed to improve communication and leadership skills. Click here to login.
InnoVision forming new Talent & Casting agency
SAN DIEGO — National agency InnoVision Marketing Group is widening its capabilities with the creation of InnoVision Talent & Casting (ITC), adding to its growing list of in-house services. In preparation of their formal announcement to production companies, studios, photographers and other advertising agencies scheduled for June 1, ITC is actively searching for talent to join their current talent roster of actors, models, voiceover talent and extras. To join the talent roster, click here.
Illumina launches new long-read technology
SAN DIEGO — Illumina Inc. announced that its first product based on its novel Illumina Complete Long Read technology is now available to order. The high-performance, long-read, human whole-genome sequencing (WGS) assay – Illumina Complete Long Read Prep, Human – is compatible with Illumina NovaSeq X Plus, NovaSeq X, and NovaSeq 6000 Sequencing Systems. For the first time ever, it offers users access to both long- and short-read data on the same Illumina instrument. Illumina Complete Long Reads enables a simpler workflow with drastically reduced DNA input requirements compared to other long-read offerings.
Molecular Assemblies ships first
enzymatically synthesized oligonucleotides
SAN DIEGO — Molecular Assemblies Inc., a pioneer in the field of enzymatic DNA synthesis, announced it has shipped the first enzymatically synthesized oligonucleotides to top biotechnology, academic, and synthetic biology researchers, delivered as part of a key customer program. The ability to quickly deliver long, highly pure DNA using a proprietary Fully Enzymatic Synthesis technology addresses key unmet needs in DNA synthesis, enabling demanding and high-value applications, such as CRISPR gene editing.
Visier announces Outsmart 2023 conference
SAN DIEGO — Visier, the globally recognized leader in people analytics and workforce solutions for people-powered business, announced the keynotes speakers and session lineup for Outsmart 2023, the definitive people analytics conference of the year. Themed “Unlocking the people powered future,” Outsmart will take place May 3-5, at the Manchester Grand Hyatt on the San Diego waterfront. This year’s conference will feature expert speakers with diverse backgrounds, unique perspectives, and the sort of insight and expertise that can help HR and people leaders navigate uncertain times.
PriceSmart announces plans for
sixth warehouse club in Guatamala
SAN DIEGO — PriceSmart Inc. announced that it has leased land and has plans to open its sixth warehouse club in Guatemala, located in the city of Escuintla, approximately 40 miles south from the nearest club in the capital of Guatemala City. The small format club will be built on a five-acre property and is anticipated to open in the fall of 2023. Once this new club is open, PriceSmart will operate 53 warehouse clubs. PriceSmart, headquartered in San Diego, owns and operates U.S.-style membership shopping warehouse clubs in Latin America and the Caribbean, selling high quality merchandise and services at low prices to PriceSmart Members.
Ascent launches new Social Impact Platform
SAN DIEGO — Ascent, a leader in outcomes-based lending and student success, announces its new Social Impact Platform to enable impact investors, philanthropies, corporations, and employers to deploy their cause capital in more scalable ways. The new platform allows Ascent to co-create programs with partners, using its origination technology, loan products, vendor network, and compliance infrastructure to deliver funding programs that support economic mobility of learners working with its partners. Click here for more information.
Nonaste odor-eliminating products
to be sold at Road Runner Sports stores
SAN DIEGO — Nonaste, pronounced “No Nasty!”, high-performance laundry detergents, odor eliminating sprays, and sweat-proof premium car seat protectors, will now be sold in select Road Runner Sports stores throughout the Western United States this month. Nonaste’s high-performance laundry detergents and disinfecting sports sprays contain a proprietary scientific formula that expels nasty odors, oil, grime, and bacteria – even residue left from other detergents – from activewear.
