Uber and Lyft

 The Labor Department announced a proposal to define employees of Uber and Lyft as contractors, not employees.  Companies that rely on contractors don’t have to pay the minimum wage or overtime.  They don’t need to pay a share of Social Security taxes.  They don’t have to contribute to unemployment insurance.  They are not required to provide workers’ comp insurance.

While the Labor Department seems to be targeting Uber and Lyft, the proposal would most likely also affect janitors and construction workers.  

This administration has millions of workers convinced that it is on their side.  If they only knew.

For the full story, see Noam Scheiber, “Proposed Labor Rule Could Aid Gig Giants,”  New York Times, (Sept. 23, 2020), p. B-3.