Bloomberg Law
March 26, 2021, 11:24 PM

Biden’s Delay of Trump Gig Contractor Rule Challenged in Court

Maeve Allsup
Maeve Allsup
Legal Reporter

Business groups are mounting a legal challenge to the Biden Labor Department’s decision to delay a Trump-era rule that would make it easier for businesses to classify workers as independent contractors.

In a complaint filed Friday in the U.S. District Court for the Eastern District of Texas, Beaumont Division, the Coalition for Workforce Innovation alleged the agency’s decision to punt implementation of the Trump rule violates the Administrative Procedure Act.

The U.S. Labor Department didn’t provide a meaningful comment period or substantive justification for its decision to delay that rule, which was finalized two weeks before former President Donald Trump ...

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