The Department of Labor moved Thursday to end two rules established under the Trump administration that reduced federal labor protection for millions of workers.
Both rules both referred to the classification of workers as employees or independent contractors, a distinction which governs whether an employer is required to provide benefits, including healthcare.
In a statement, the agency said it was proposing changes to two rules set up under the previous administration: The final rule of the independent contractor, adopted by the agency just days before President Biden
Joe BidenManchin Cements Key Voting Status in Senate 50-50 Memorandum: How COVID Changed Politics Post-Pandemic Plans for MPs: Chuck E. Cheese, visiting friends, hugging grandchildren MORE took office in January, as well as a regulation issued by the Department of Labor under the Fair Labor Standards Act, which was largely circumvented by a court decision last year.
“The mission of the Wages and Hours Division is to protect and respect workers’ rights. The repeal of these rules would strengthen the protection of workers, including key front-line workers who have done so much in these difficult times, ”said a Labor Department spokesman.
“While legitimate independent contractors are an important part of our economy, the misclassification of employees as independent contractors denies workers access to the critical benefits and protections provided by law,” they added. “In addition, removing a standard for joint employment that could be unjustifiably narrow would protect the wages of many workers and improve their welfare and economic security. “
The two proposed changes to the rules come as the president faces pressure from the left on the issue; California passed a poll last year that weakened a state law that previously required rideshare companies like Uber and Lyft to classify their workers as employees, a major defeat for activists who say such companies exploit workers by not offers benefits.
Workers’ groups and activists moved earlier this year to challenge that voting initiative, calling it unconstitutional.
“This unconstitutional law, which giant companies have bought for hundreds of millions of dollars in political spending, is an affront to the protections and fundamental rights that all workers deserve and should be quickly rejected by the courts,” he said. head of the California Labor Federation. in January.