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Tipsheet

Biden Backs New Rule to Crush Freelancers

AP Photo/Matt Slocum

President Joe Biden backed a new rule Tuesday to crush freelancers and embolden labor unions. 

The rule, put out by the Department of Labor, would force companies to count contractors as employees. Labor Secretary Marty Walsh tried to sell the rule as beneficial to contractors without acknowledging wide spread opposition to the potential change. 

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The move is opposed by the majority of freelancers who value flexibility and earn more income by working on multiple projects. It also eliminates the ability for individuals to work freelancing jobs outside of full-time employment and destroys entrepreneurship. If the new rule goes through, employers will simply no longer be able to afford the use of freelancers or contractors, limiting economic potential for all involved. 

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Republican labor leaders on Capitol Hill are already pushing back and vowing to fight the implementation of the rule. 

“Independent contracting is a popular work model, but the Biden administration would prefer to saddle workers and job creators with red tape instead of encouraging flexibility. Americans want the freedom and flexibility that comes with independent contracting, and depriving them of such liberties is a kick in the teeth," Education and Labor Committee Republican Leader Virginia Foxx and Workforce Protections Subcommittee Republican Leader Fred Keller released in a joint statement. “The Biden administration’s proposed rule on independent contractors needlessly attempts to redefine many independent contractors as employees, which many workers do not want, and limits employers’ flexibility to respond to changing economic circumstances. We should put workers and job creators on the path to success instead of setting up roadblocks. These damaging regulations are not what workers need.”   

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