Legal Question in Employment Law in California

A licensed CA contractor can only use non-employee personnel if they are licensed contractors themselves or are employees of another licensed contractor. Everyone working on a construction site must either be a licensed contractor or an employee of a licensed contractor if they are doing any work for which a license would be required if they were directly working as an independent contractor to the owner. There is nothing that prevents you from having on-call employees if your work is uncertain and hours vary, but you must still do all the paperwork, payroll, workers comp., etc. as if they were any other kind of employee.