Biden Administration Releases New Gig Worker Rule

The Biden administration has issued a rule aiming to prevent the misclassification of workers as "independent contractors."

The Details: Under the new rule, which takes effect on March 11, the Labor Department has a narrower definition of who is an employee or independent contractor under the Fair Labor Standards Act. The rule replaces a Trump-era edict that allowed many workers to be treated as contractors.

How the Media Covered It: Sources across the spectrum covered the news differently. Quartz (Center bias) said the move means "millions of working Americans could gain the right to overtime pay, insurance benefits, and protections for unionization efforts." Newsweek (Center) said it was "criticized by cross-partisan groups for the potential loss of flexibility in hours for gig workers, many of whom might be attracted by working outside of a fixed schedule." The Associated Press (Lean Left) said the rule could "bolster both legal protections and compensation for millions in the U.S. workforce." The Washington Examiner (Lean Right) said the rule is "expected to increase costs for some industries, including trucking and retail," and could "also lead to more restrictive policies on contractors in the future."

Why the Difference: People on the right and others who support freer markets may oppose the federal government imposing a rule that could raise costs for businesses. People on the left and others who support government intervention in business may support federal efforts to give workers more benefits.