Posts tagged gig workers
California Supreme Court upholds AB5 exemption for gig workers
July 29, 2024 // Case on independent contractor law involved workers’ comp and ballot initiative Prop 22 that granted carve-out
Share of gig workers hit a new high in March
May 7, 2024 // The Bank of America Institute's report also noted that workers are increasingly turning to gig work in lieu of traditional full-time jobs, with the internal Bank of America data showing a gradual decline in gig workers also getting paychecks from traditional jobs dating back to 2022 and workers receiving year-round gig income continuing its rise since 2021.
Commentary: JOHN STOSSEL: Unions Wanted To Help Freelance Workers. Now They Lost Their Jobs
April 17, 2024 // Vox called the law “a big win for workers everywhere.” Ha! A few months later, Vox media layed off hundreds of freelancers. “They expected that all these companies were going to reclassify independent contractors as employees,” freelance musician Ari Herstand told me. “In reality, they’re just letting them go!” Herstand was dismayed to learn that when he wants other musicians to join him, he could no longer just write them a check. “I have to put that drummer on payroll, W2 him, get workers’ comp insurance, unemployment insurance, payroll taxes!” he complains. “I have to hire a payroll company.”
A New Law Could Affect Your Retirement Side Hustle Income
April 10, 2024 // Kavin owns her own freelance writing and editing business in New Jersey and leads Fight For Freelancers USA, a nonpartisan coalition of freelancers from across the country that spans professions from translation to interior design. Around 20% of group members are ages 55 to 64 and nearly 10% are age 65 and older. Some members turned to freelancing after suffering age discrimination that cost them a traditional job, says Kavin. "They still want to work and earn, and the way they're able to do it is as independent contractors," she says. Kavin says she does well as a freelancer and does not want a traditional job, even if she could find one at her age. "It's a lot harder to find a traditional job in your 50s than in your 30s, especially one with the significantly higher level of income that I've been able to achieve as a freelancer," she says. "If I lose this self-employed business that I just spent 20 years building up, there may be no other place for me to go."
Opinion: New Labor rule will harm freelance work under the guise of helping workers
March 22, 2024 // In crafting solutions, it is crucial to maintain a focus on protecting vulnerable workers while also supporting innovation and maintaining the flexibility that has become a hallmark of the American economy. Collaborative efforts between businesses, labor organizations, and policymakers can pave the way for regulations that uphold fair labor standards without shutting down economic growth and individual autonomy.
Gig Workers Need Flexibility, Not More Rules | Opinion
March 20, 2024 // Su and the Biden administration are missing one important thing, however: most contract workers don't want those protections. Or rather, they consider the reward of the contract work and compensation to be greater than the risk of not having the traditional protections a full-time employee might enjoy. Many contract workers also work full-time jobs that offer said protections. The gig economy has exploded in the last two decades. Before the pandemic, it was estimated to employ 36 percent of American workers, or about 57.2 million people. Statistics from last year suggest there are over 73 million freelancers in the U.S.
Further appeals to block AB5 from California trucking seen as a long shot
March 19, 2024 // Appeals are possible of the decision Friday in the U.S. District Court for the Southern District of California that emphatically rejected all the arguments by the California Trucking Association (CTA) and the Owner-Operator Independent Drivers Association. But several observers of the legal battle that has gone on for more than four years said that may prove too big a challenge to proceed. “I’m sure that some will advocate for the appeal and exhausting all efforts, but I’m certainly not bullish on the likelihood of success in the 9th Circuit,” an attorney who is not representing any of the parties and requested anonymity said of possible future CTA/OOIDA action. “It is time to ‘move on’ absent the political will to change.”
Commentary: Melissa Melendez And Kevin Kiley: Learn From California’s Disastrous Contractor Rule
March 18, 2024 // According to a brand new study from the Mercatus Center, self-employment in affected industries has declined by a stunning 10.5% in California. Proponents had argued that these workers would simply be “reclassified” as full-time employees, but for many, that has not been the case. The same study found an overall 4.4% decline in employment in the industries that didn’t manage to get an exemption. Amidst these disastrous results, it is still unclear who has actually been helped by the new regime.
Commentary: Biden’s Independent Contractor Rule Threatens the Evolution of Work
March 15, 2024 // So what's the advantage of reclassifying independent workers as employees? The same as the disadvantage: It makes it harder for workers to be their own boss, to choose their own schedules, to represent themselves, to set their priorities as they see fit. If you believe in the evolution of the workplace and worker self-determination, this is bad. But if you believe in a one-size-fits-all work model where individuals are employed by traditional businesses and represented by traditional unions, this is great.
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.