Data annotators and AI taskers are workers who help train artificial intelligence systems. The work typically involves evaluating AI-generated responses and rating them, writing better answers, comparing different outputs, testing AI systems by trying to elicit incorrect or harmful responses, and flagging content that violates guidelines. This work is performed on platforms run by companies that contract with major technology companies to improve their AI models.

The classification determines what legal protections you are entitled to. Labor laws in California require employees to be paid minimum wage, overtime pay, meal and rest breaks, timely payment of wages, reimbursement for business expenses, and employers to maintain accurate payroll records. Independent contractors have none of those protections. Companies that misclassify employees as contractors deprive them of those rights and save substantial money in the process.

Clarkson filed a class action against Scale AI and its subsidiaries, including Outlier AI and Remotasks, in California Superior Court in San Francisco in December 2024. In May 2025, Clarkson filed a second class action against Surge AI, also known as Surge Labs, in the same court. Both cases allege intentional misclassification of workers as independent contractors in violation of California labor law, including failure to pay minimum wage, failure to pay overtime, failure to compensate for training time, and failure to reimburse business expenses.

California uses a test known as the ABC test under Labor Code Section 2775. Under this test, a worker is presumed to be an employee unless the hiring company can prove three things: that the worker is free from the company's control in performing the work, that the work is outside the usual course of the company's business, and that the worker is customarily engaged in an independently established trade or occupation.

The lawsuits seek recovery of unpaid wages, overtime compensation, statutory penalties, interest, injunctive relief, and other equitable remedies available under California law. The goal is both financial restitution for the workers who were harmed and a change in the business practices that caused the harm.

California labor law applies to work performed in California and to California-based employees. If you performed work in California or were employed by a company headquartered in California, you may have viable claims under state law. If you are based in another state, contact us to discuss whether your circumstances support a claim under applicable law.

Statutes of limitations apply to labor claims, so time matters. California law generally allows workers to bring wage claims within three years of the violation for statutory claims and up to four years for unfair business practice claims.

Contact us here. The review is free and confidential. Clarkson's intake team will follow up to learn more about your experience.