The Federal Trade Commission just announced that it will put gig economy businesses in its crosshairs by cracking down on worker misclassification and other alleged antitrust misdeeds – the second such attack by the same agency in the last few months. The FTC’s new policy statement, released on September 15, announced that the agency would use the full portfolio of laws it enforces to prevent “unfair, deceptive, anticompetitive and otherwise unlawful practices” affecting gig workers. Specifically, the FTC said it will take on businesses that misrepresent workers’ potential earnings, wrongfully use artificial intelligence to evaluate worker productivity, and engage in wage-fixing with other gig companies, commonly seen as classic antitrust behavior that is getting increased attention under the Biden administration. “No matter how gig companies choose to classify them, gig workers are consumers entitled to protection under the laws we enforce,” said an agency representative. What do gig economy businesses need to know about this latest antitrust shot across the bow from the federal government?
Federal Trade Commission Enters the Arena
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