Acting Secretary of Labor Julie Su has declared her intention to “help protect workers,” particularly those at risk of “exploitation.” Even though this sounds like an attempt to protect workers from overzealous employers, Su is talking about cracking down on independent contractors. In other words, Su seems to believe that independent contractors need protection from themselves.
As a result, the Department of Labor’s newly announced rule, to take effect in March, will force businesses to reclassify many independent contractors as employees, which will likely displease all parties involved besides Labor Department bureaucrats. The agency will foist its myopic (and pro-union) preferences on the gig economy, a fast-growing arena occupied by generally happy and successful workers.
