The recent history of Uber reads like a Shakespearean tragedy, and there are plenty of opinions about where the company went wrong and what it needs to do going forward. But unlike many others, I’m not here to praise or bury Uber. Instead, I’m here to reflect on a deeper issue that much of its business is predicated on.
Lots of Employees Get Misclassified as Contractors. Here’s Why It Matters
The debate is about much more than Uber.
July 05, 2017
Summary.
Worker misclassification — when employees are classified erroneously as independent contractors — has been widely discussed when it comes to Uber and other platforms. But Uber is not unique. The misclassification of employees pervades the modern economy and can be devastating to workers in the form of lost wages and little bargaining power. While the Obama administration issued guidelines for companies about how to interpret existing law, the Trump administration recently rescinded them. This leaves the fates of many workers up in the air, and a lack of formal guidance for employers. This could be particularly problematic as the platform economy only continues to grow.