Thanks to powerful lobbying, last week the House of Representatives introduced a new bipartisan bill, the Worker Flexibility and Choice Act (the “Act”). This bill provides for a new classification of workers in between employee and independent contractor. The classification would allow businesses to continue treating certain workers as independent contractors, while also providing some benefits typically provided to employees. The Act is backed by major app-based and gig economy companies, including Uber, Lyft, DoorDash, as well as trucking and construction associations.
Summary of the Act
The Act combines the flexibility of independent gig work with certain workplace protections. Under the provisions of the Act, employers and employees may voluntarily enter into a “worker flexibility agreement” that clearly defines the work relationship. According to a summary from the lawmakers’ office, the agreement would:
- Ensure the worker retains the freedom and flexibility to accept or reject offers to provide their services, giving them control over when, where, and how much they wish to work, as many gig economy workers desire.
- Promote worker freedom without infringing on certain workplace rights, including protections against discrimination, retaliation, and harassment.
- Allow the worker to engage with and provide services for multiple entities at any given time.
- Provide the worker a written summary of any health, pension, training, or other benefits they may be eligible to...
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