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Biden Admin Issues Rule Extending Labor Benefits for Hourly, Low-Wage Gig Workers

HeadlineJan 10, 2024

The Labor Department issued a final rule Tuesday extending benefits and other protections to millions of hourly and low-wage gig workers. The move reverses a Trump-era rule and reclassifies “independent contractors” as “employees,” allowing them to access minimum wage, overtime pay, unemployment insurance and Social Security benefits. Janitors, home care workers, construction workers and truck drivers are among those who stand to benefit from the change. Businesses are expected to launch legal challenges, and ride-share companies Uber and Lyft, which have been fighting the new policy, said they will not reclassify drivers, though the Labor Department could move to force both companies to abide by the new rule.

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