Biden Labor Rule Aims to Help End Gig Company 'Exploitation' of Workers

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Biden Labor Rule Aims to Help End Gig Company 'Exploitation' of Workers
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'All work has value, all workers deserve fair compensation and legal protections from exploitation on the job.'

"All work has value, all workers deserve fair compensation and legal protections from exploitation on the job," said one labor union in response to the rule.The millions of workers whose labor is central to the success of large companies like Uber and Lyft will have more protections and rights under a new rule proposed Tuesday by the Biden administration, which takes aim at corporations that misclassify workers as independent contractors.

Under the proposed framework, when classifying people as employees or independent contractors, companies would be required to consider whether the work being performed is essential to their business and whether a worker has to make large investments—such as buying and maintaining equipment—in order to do their job.

"While independent contractors have an important role in our economy, we have seen in many cases that employers misclassify their employees as independent contractors, particularly among our nation's most vulnerable workers," said Walsh."Misclassification deprives workers of their federal labor protections, including their right to be paid their full, legally earned wages.

about $200 million to pass a ballot measure to limit benefits for the workers their business models rely on and exempt them from employee status.national economic justice group Jobs With Justice.

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