Free Enterprise

Libertas Institute Submits Comments Opposing DOL Independent Contractor Reclassification

This week, Libertas Institute submitted comments to the Department of Labor (DOL) opposing its Notice of Proposed Rulemaking titled, “Employee or Independent Contractor Classification Under the Fair Labor Standards Act.” 

The DOL’s proposed rule, reclassifying many independent contractors in the gig economy as employees, will complicate the relationship between gig workers and their customers — resulting in fewer jobs, reduced income, and less economic opportunity.

We encourage the Department to rescind this proposed rule and instead work to expand opportunities for gig workers and other independent contractors to access benefits and protections through alternative means like portable benefits funds. Especially as the economy continues to grow and innovate, technological and societal changes should be harnessed to bring about a new way of achieving the FLSA’s directive of meeting a worker’s basic needs. 

Click here to read our full comments in the Federal Register.