Posts tagged Uber
Collateral Damage in the War on ‘Gig Work’
February 12, 2024 // A new Department of Labor rule regarding independent contractors is likely to hurt overall employment.
Let’s Address the Real Challenges for Independent Contractors and Gig Workers
February 5, 2024 // Self-employment fell by 10.5 percent on average for non-exempt occupations, while overall employment fell by 4.4 percent on average for non-exempt occupations Occupations with a greater prevalence of self-employed workers saw greater reductions in both self-employment and overall employment In other words, on average, 1 in 10 self-employed individuals may have lost self-employment opportunities in California among occupations not exempt from AB5, while there is no evidence of an accompanying increase in traditional employment opportunities among workers in non-exempt occupations.
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.
Rachel Greszler: 64 million Americans risk losing work under Biden administration rule
January 30, 2024 // The group Freelancers Against AB 5 compiled a list of more than 600 professions that have been negatively affected by independent contracting restrictions, and Americans for Tax Reform documents more than 600 personal testimonials of workers who’ve been harmed. Karen Anderson, the founder of Freelancers Against AB5, testified to federal lawmakers about children’s theaters and nonprofit youth sports clubs closing their doors; sign language interpreters unable to provide ADA-mandated services to the deaf; and professionals having to move out of state to maintain their livelihoods.
OOIDA lends support in case against AB5
January 30, 2024 // The two trucking groups argue that the law eliminates the independent contractor driver business model in the trucking industry and that it violates the U.S. and California constitutions. OOIDA, which is serving as an intervenor in a case against the state’s worker classification law, told the court in its Oct. 27 reply brief that AB5 needlessly causes genuine independent contractors to be reclassified as employees. “AB5 discriminates against and imposes undue burdens on interstate commerce in violation of the dormant Commerce Clause, and the disparate treatment of AB5’s business-to-business and construction exemptions violates the U.S. and California constitutions’ equal protection clauses,” OOIDA wrote
Op-Ed: Labor Department stuck in 1930s with rule against independent contractors
January 23, 2024 // With a national rule, however, few of those escape options are possible. Freelancers are unlikely to flee the country, and there is no such thing as a national ballot measure. The department has only just finalized the rule, so revisions are unlikely unless there is a change in control of the executive or legislature this November. Independent contractors face an extremely uncertain future. The reason why the rule is likely to be such a problem is because it is based on a vision of what the workplace should look like from a century ago, when large corporations dominated. Large corporations made sense when it was harder to be nimble as a business. Nobel Prize winner Ronald Coase explained the reason we have corporations at all is because of the presence of what are called transaction costs. If I have a business idea that requires the services of someone else, I face those costs. If the business idea requires someone with advanced mathematical calculation skills I don’t have, I can either contract with someone who has those skills to do the work every time I need it, or I can hire them as an employee instead and have them always available.
Opinion: Biden adds to his ‘Bidenomics’ flop: This new rule throws wrench in popular gig economy.
January 22, 2024 // Biden promised to be the “most pro-union president you’ve ever seen,” so he needs to reward all those campaign donations. And Biden’s doing it regardless of the impact on the economy. Independent contractors cannot be unionized, so the more companies lean on these workers, the less ability unions have to organize. It’s really that simple. The Biden administration is trying to sell its new rule as a way to protect workers and make it easier for them to qualify for benefits such as overtime pay and paid time off.
Opinion: Biden’s Labor Nominee ‘Embodies the Spirit of California,’ and That’s the Problem
January 18, 2024 // If approved, Su won’t be the only half-baked Californian in the Biden White House. Vice President Kamala Harris is (per National Review’s Charlie Cooke) “talented enough to make the inanities uttered by her rival Pete Buttigieg sound substantive, concise, and apprehensible.” Economist David Bahnsen calls California’s Janet Yellen “a career bureaucrat, albeit a hyper-intelligent one, who has spent an adult life devoid of accountability for poor decisions and even poorer ideas.” California’s Xavier Becerra knew nothing about health or human services until Biden made him head of Health and Human Services; during Covid, he did nothing, which, given his résumé, might have been for the best. Becerra’s fathomless ignorance is almost a prerequisite for this administration, where experience might mean owning your failures. The first White House gig of Californian Alejandro Mayorkas, now secretary of homeland security, as Obama’s director of U.S. Citizenship and Immigration Services involved running interference for a scandal-plagued electric-car company run by Secretary of State Hillary Clinton’s brother Tony Rodham and Terry McAuliffe, cochairman of President Bill Clinton’s 1996 reelection campaign, chairman of the Democratic National Committee from 2001 to 2005, and chairman of Hillary Clinton’s 2008 presidential campaign. I needn’t go on — or should I mention that Biden’s deputy secretary of education is a former San Diego teachers’-union official whose concern for union power exceeds any attachment to student performance? While she was Governor Gavin Newsom’s secretary of labor, Su oversaw the implementation of bad policy and the mismanagement of simple procedures. Any one of her major catastrophes would have been career-enders elsewhere; in California, where the failure of progressive policy is invariably a prompt for more progressive policy, she was instead excused — and then promoted into the Biden
Opinion: California’s minimum wage woes are a cautionary tale for the nation
January 10, 2024 // California politicians seem to have a penchant for doing whatever they can to reduce housing affordability and otherwise increase the cost of living in the state — high taxes, burdensome labor and environmental mandates, waste for boondoggles like the high-speed rail project and countless other laws and regulations. Then they attempt to be saviors by passing still more laws to benefit one group or another and alleviate the situation they have largely created.
Trucking groups slam DOL’s new worker classification rule as ‘un-American’
January 10, 2024 // The coordinated release of this rule with the renomination of Julie Su to lead the Department of Labor is proof positive that the Administration is doubling down on destructive policies that eliminate choice and opportunity for our workforce. Had Su actually taken the time to talk to independent contractors, she’d know firsthand what a misguided rule this really is. That is exactly why we opposed her nomination before and why we will continue to oppose it now. Radical California agendas have no place in federal policy.” Spear vowed that the ATA “will work with members of Congress and other stakeholders to defeat this ill-advised rule.” In a statement, the Intermodal Association of North America (IANA) called the new requirements “burdensome,” adding that they “significantly limit the use of independent contractors in the trucking industry and threaten to force the reclassification of over 80 percent of intermodal drayage drivers that currently enjoy independent contractor status.”