Bloomberg Law
Feb. 19, 2021, 4:19 PM

Trump’s Gig-Worker Guidance Thrown Out by Biden Labor Department

Ben Penn
Ben Penn

The U.S. Labor Department is retreating from the Trump administration’s opinion that workers at a gig company are exempt from wage protections because they’re independent contractors.

DOL’s Wage and Hour Administration Friday scrapped a pair of interpretative letters from 2019, including one that platform-based companies such as Uber Technologies Inc. and Instacart Inc. could have used as a legal defense against claims that their drivers are employees subject to the Fair Labor Standards Act’s minimum wage and overtime provisions.

The move signals the Biden administration will scrutinize more closely whether Silicon Valley app-based businesses can continue to avoid responsibility for ...

Learn more about Bloomberg Law or Log In to keep reading:

Learn About Bloomberg Law

AI-powered legal analytics, workflow tools and premium legal & business news.

Already a subscriber?

Log in to keep reading or access research tools.