The Department of Labor just handed congressional Republicans a gold-plated election opportunity: to permanently protect small businesses and entrepreneurs from federal bureaucrats cutting them off at the knees.
The Trump administration moved to reverse the Biden administration’s vague, inscrutable “six-factor test” for classifying workers as full-time employees or independent contractors. Now, we’ll see clearer standards for determining who qualifies as what kind of employee under the Fair Labor Standards Act, and businesses and independent professionals can leave the Biden era’s state of limbo.
The regulatory clarification is an important step. Congress needs to codify those protections into law so the next administration won’t put their livelihoods at risk again.
Research estimates that more than 70 million Americans participated in independent work in 2023, with millions relying on it as their primary source of income. They are not looking for a traditional nine-to-five job with a single employer. They are building careers as independent professionals, working with multiple organizations, managing their own schedules, and turning specialized expertise into thriving businesses.
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