As the Biden administration in the United States attempts to alter how drivers-for-hire are classified, businesses engaging in the “gig economy” may need to brace for a knock to their bottom lines. Shares of Uber and Lyft were declining yesterday after a new policy proposal was published.
Illustrated Uber and Lyft Services
Labor Department Submits New Regulation
On October 11th, the American Labor Department released a proposal that, if accepted, would change the gig economy’s power dynamics between employers and employees. Numerous market sectors in the United States currently classify millions of workers as independent contractors.