U.S. businesses are aiming to destroy some of the Biden administration's biggest labor legislation dealing with the categorization of contract workers.
Businesses that employ ride-hailing drivers, home health aides, janitors, truckers, and other professionals filed a legal challenge on Tuesday challenging a provision from the Biden administration that guides the categorization of workers. The companies behind the challenge have long argued that categorizing their contractors as employees would incur steep costs they can’t afford, ruining the purpose of the businesses.
Marc Freedman, vice president of workplace policy at the U.S. Chamber of Commerce, warned that the new rules from the Biden administration could end the use of contractors altogether. On the other hand, labor activists argue that the classification of contractors strips them of vital benefits.
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