Posts tagged Coalition for Workforce Innovation
Trump Labor Department Pauses Gig Worker Rule, Plans Repeal
May 5, 2025 // The announcement, made in an enforcement guidance May 1, brings to fruition plans to rescind the rule—which the Trump administration has signaled in response to pending litigation over the policy. “Agency investigators are directed not to apply the 2024 rule’s analysis in current enforcement matters,” according to a DOL press release. “This approach provides greater clarity for businesses and workers navigating modern work arrangements while legal and regulatory questions are resolved.”
Commentary: Washington, We Have a Problem
December 27, 2024 // The problem is that the figure 11.9 million is significantly lower than figures the government has previously stated about the number of independent contractors in the United States. Those figures, in turn, have been significantly lower than figures we’ve all seen released year after year by numerous other researchers. Several experts were quick to point out that with this new data, the U.S. Bureau of Labor Statistics may have accurately counted what the government set out to count—by asking questions in its own wonky way—but the result is absolutely going to confuse a lot of people.
Frisard’s Transportation v. Department of Labor
June 26, 2024 // And the rule affects far more than the 350,000 owner-operator truckers that operate across the nation. It will affect 70 million freelancers in industries across the country, pushing them towards an employment status when 80% of them want to be independent. Similar legislation in California led to a loss of over 10% of freelancers. With the help of the Pelican Institute, Frisard’s has filed a lawsuit against the Department of Labor, arguing that the new rule is arbitrary and exceeds the department’s statutory authority. The company asserts that the rule undermines the certainty businesses and independent contractors need to operate efficiently and is inconsistent with the Fair Labor Standards Act and precedent set by the U.S. Supreme Court and the Fifth Circuit.
Everything You Need to Know About the Department of Labor Independent Contractor Rule
March 12, 2024 // The DOL does not provide an analysis of how many independent contractors will actually become employees. Let’s say a company is contracting with 100 photographers, all of whom are affected by this rule: how many of those photographers will become employees? It’s clearly not all 100 of them. To unpack the potential benefits (and costs) on workers, we need some analysis into how many of those 100 freelance photographers would become employees. Another consideration for the benefits side of the equation is whether most independent contractors are currently working with small businesses or larger ones. This matters because, as I point out in a previous post, many small businesses do not provide healthcare insurance, retirement benefits, or maternity benefits to their employees. This means that the “benefits” differences between an independent contractor and an employee at a small business are smaller than expected.
Ranking Member Cassidy, Kiley Introduce CRA to Overturn New Biden Regulation Threatening 27 Million American Independent Contractors
March 6, 2024 // Independent contractors, or freelancers, make their own hours to fit their schedule and decide where and how they want to work. The Biden administration rule attempts to restrict the ability of American workers to be an independent contractor and take advantage of the flexibility it provides. The rule creates a non-exhaustive, six-factor litmus test for unelected bureaucrats to interpret and decide who is and who is not classified as an independent contractor. It also casts as large a net as possible and gives less legal certainty to independent contractors impacted by the regulation. “The Biden administration’s priority should not be to do whatever makes it easier to forcibly and coercively unionize workers. It should be to increase individual freedom and opportunity,” said Dr. Cassidy. “This new Biden rule does the opposite, jeopardizing 27 million workers’ ability to make their own hours and make a living without being pressured into joining a union.”
Kiley, Cassidy Introduce CRA to Overturn New Biden Regulation Threatening 27 Million American Independent Contractors
March 6, 2024 // “Independent contractors, entrepreneurs, and small businesses are fed up with the Department of Labor continually breathing down their necks,” said Representative Virginia Foxx (R-NC), chairwoman of the House Education and the Workforce Committee. “The bicameral Congressional Review Act resolution led by Representative Kiley and Senator Cassidy offers Congress the opportunity to take a unified stand against the Department’s thirst for more government control over America’s workforce. Entrepreneurial opportunities and flexibility should be encouraged, not extinguished with heavy-handed mandates from the federal government.” “Gavin Newsom and Julie Su’s AB 5 severely restricted independent contracting in California, destroying thousands of livelihoods and harming California’s economy. As Acting Secretary of Labor, Su and the Biden Administration have announced a new Department of Labor rule, modeled after on the same job-killing AB 5 that will cost millions of independent professionals across the country their livelihoods while restricting the freedom of many millions more to have flexible work arrangements. Our legislation under the Congressional Review Act nullifies this terrible regulation and protects independent contractors,” said Representative Kiley. “Washington should support workers, not regulate them into oblivion.”
Small Businesses File Lawsuit Challenging DOL’s Independent Contractor Rule
March 5, 2024 // NFIB opposed DOL’s 2024 final rule on independent contractors, arguing that the rule further complicates the worker classification process for small businesses. Small business owners supported the 2021 rule, which offered a straightforward test for determining who is and is not an independent contractor. NFIB filed the complaint with the Coalition for Workforce Innovation, Associated Builders and Contractors of Southeast Texas, Associated Builders and Contractors, Inc., Financial Services Institute, Inc., Chamber of the Commerce of the United States, National Retail Federation, and American Trucking Associations.
Biden Takes a Destructive California Idea National
February 4, 2024 // The Biden administration appears undeterred by the lessons of recent history. The California law unleashed chaos in the state’s politics and courts. Politicians delegated to union leaders the power to hand out exemptions to politically favored groups. Lawyers, doctors, psychologists, dentists, podiatrists — almost anybody with an advanced degree was exempt. When newspapers editorialized against the new law — noting that they rely on freelance photographers, reporters, editors, designers, and delivery people — they, too, were excluded from the new regulations. Suddenly free from the dead hand of state regulators, the newspapers turned as one and editorialized in favor of the new law. A federal judge said the process was shot through with “corruption,” “backroom dealing,” “pure spite,” and “naked favoritism.” But more important, A.B. 5 crushed tens of thousands of California business owners — those who operate as independent contractors as well as those who employ or otherwise rely on them. Now Biden and Su plan to bring the crazy to every American state.
CWI APPLAUDS FINAL INDEPENDENT CONTRACTOR RULE
March 16, 2022 // The Department’s first of its kind final rule modernizes the “economic realities” test to define whether a worker should be classified as an independent contractor. The Coalition for Workforce Innovation (CWI) strongly supports the final rule as an important step in providing needed clarity to businesses and independent workers in structuring and maintaining their relationships.
CWI URGES THE NLRB TO SUPPORT ENTREPRENEURS
February 11, 2022 // The Coalition for Workforce Innovation submitted a brief in the case of Atlanta Opera, Inc. 371 NLRB No. 45 (2021) to address whether the National Labor Relations Board (NLRB) should reconsider its standard for determining the independent contractor status of workers.