{"id":1701509,"date":"2022-10-18T17:17:59","date_gmt":"2022-10-18T21:17:59","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1701509"},"modified":"2022-10-18T17:18:05","modified_gmt":"2022-10-18T21:18:05","slug":"doesnt-match-the-needs-of-workers-industry-group-raises-alarm-over-biden-rule-cracking-down-on-independent-contractors","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/doesnt-match-the-needs-of-workers-industry-group-raises-alarm-over-biden-rule-cracking-down-on-independent-contractors\/","title":{"rendered":"\u2018Doesn\u2019t Match The Needs Of Workers\u2019: Industry Group Raises Alarm Over Biden Rule Cracking Down On Independent Contractors"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">36<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fdoesnt-match-the-needs-of-workers-industry-group-raises-alarm-over-biden-rule-cracking-down-on-independent-contractors%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1701509&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Flex Association, an industry group representing gig <a href=\"http:\/\/dailywire.com\/topic\/economy\" target=\"_blank\" rel=\"noopener\">economy<\/a> companies such as Uber and Instacart, explained that a proposed rule change from the Labor Department threatens millions of American independent <a href=\"http:\/\/dailywire.com\/topic\/jobs\" target=\"_blank\" rel=\"noopener\">contractors<\/a> who enjoy their current work arrangements.<\/p>\n<p>The <a href=\"https:\/\/public-inspection.federalregister.gov\/2022-21454.pdf\" target=\"_blank\" rel=\"noopener\">new rule<\/a>, which is undergoing a public comment period slated to conclude in November, would prompt regulators to consider whether independent contractors are \u201ceconomically dependent\u201d on their employers or are truly conducting business for themselves. Labor Secretary Marty Walsh <a href=\"https:\/\/www.dailywire.com\/news\/biden-labor-department-announces-new-rule-to-crack-down-on-freelancing\" target=\"_blank\" rel=\"noopener\">claimed<\/a> last week that individuals in the former category may be more easily denied their rights by the companies for which they work.<\/p>\n<p>Flex Association CEO Kristin Sharp told The Daily Wire that the vast majority of independent contractors \u201cchoose this work because of the flexibility it provides,\u201d while a \u201csignificant majority have also consistently indicated that they prefer the freedom that comes from independent contractor status.\u201d An <a href=\"https:\/\/www.flexassociation.org\/\" target=\"_blank\" rel=\"noopener\">analysis<\/a> from Flex Association revealed that the gig economy has generated $348 billion in economic activity.<\/p>\n<p>\u201cApp-based earners can choose when, where, how often and for whom they work; traditional employment does not offer that level of flexibility,\u201d Sharp continued. \u201cWhile it remains to be seen how the proposed rule might impact the industry we represent, we know that forcing a one-sized-fits-all approach doesn\u2019t match the needs of workers.\u201d<\/p>\n<p>Indeed, roughly 16% of Americans have participated in gig economy and independent contracting work such as delivering groceries, cleaning homes, or delivering packages, according to a <a href=\"https:\/\/www.pewresearch.org\/internet\/2021\/12\/08\/the-state-of-gig-work-in-2021\/\" target=\"_blank\" rel=\"noopener\">survey<\/a> from Pew Research, which found that young people and low-income individuals are most likely to earn money through a gig platform. As a result of various labor standard laws, hiring an employee can cost between being 25% and 40% more than the worker\u2019s base salary, according to an <a href=\"https:\/\/web.mit.edu\/e-club\/hadzima\/pdf\/how-much-does-an-employee-cost.pdf\" target=\"_blank\" rel=\"noopener\">analysis<\/a> from the Massachusetts Institute of Technology.<\/p>\n<p>A previous <a href=\"https:\/\/www.flexassociation.org\/post\/flexibility-must-come-first\" target=\"_blank\" rel=\"noopener\">blog post<\/a> from Flex Association contended that the Labor Department proposal is not consistent with twenty-first century labor market conditions and noted that officials should instead pursue laws that improve independent work. According to a <a href=\"https:\/\/assets.morningconsult.com\/wp-uploads\/2020\/08\/23134151\/Global-Strategy-Group-Memo-Independent-Contractor-Attitudes-on-Classification-08.19.20.pdf\" target=\"_blank\" rel=\"noopener\">poll<\/a> from Global Strategy Group, 90% of independent contractors report that their status is a \u201cgood arrangement for them and their lifestyle,\u201d while only 3% said the arrangement is \u201cbad.\u201d<\/p>\n<p>The federal rule change proposal induced comparisons to Assembly Bill 5, a statute in California which claims that workers are often \u201cexploited\u201d through their classification as independent contractors. The law <a href=\"https:\/\/www.dailywire.com\/news\/california-tells-truckers-blockading-port-over-harsh-labor-law-to-comply-and-move-forward\" target=\"_blank\" rel=\"noopener\">entered into effect<\/a> earlier this year after an extensive series of court battles, inducing protests from owner-operator truckers and a subsequent rebuke from the state government to \u201cmove forward\u201d and \u201ccomply with the law.\u201d<\/p>\n<p>The costs of such policies incurred by workers appear to outweigh the benefits. An <a href=\"https:\/\/progresschamber.org\/new-study-finds-millions-could-lose-work-if-u-s-reclassifies-contractors\/\" target=\"_blank\" rel=\"noopener\">analysis<\/a> from Chamber of Progress found that a \u201cnational rule reclassifying independent contractors as full-time employees\u201d could result in a loss of direct income for 3.4 million American workers, producing a decline in net earnings of more than $42 billion.<\/p>\n<p>In the state of New York, policymakers enacted a measure in the spring of 2020 that temporarily <a href=\"https:\/\/www.dailywire.com\/news\/unconstitutional-food-delivery-services-sue-new-york-city-over-delivery-fee-regulations\" target=\"_blank\" rel=\"noopener\">limited the fees<\/a> which app-based food delivery companies such as DoorDash, Uber Eats, and Grubhub could charge restaurants. The companies filed suit, arguing that the ordinance was \u201cunconstitutional\u201d because of interference with \u201cfreely negotiated contracts between platforms and restaurants.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Flex Association, an industry group representing gig economy companies such as Uber and Instacart, explained that a proposed rule change from the Labor Department threatens millions of American independent contractors who enjoy their current work arrangements. The new rule, which is undergoing a public comment period slated to conclude in November, would prompt regulators to &#8230;<\/p>\n","protected":false},"author":1,"featured_media":1890462,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[541],"tags":[],"class_list":["post-1701509","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-daily-wire"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1701509","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1701509"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1701509\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1890462"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1701509"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1701509"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1701509"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}