Randon Herrera is a student at Harvard Law School.
The US Labor Department is preparing to release a new federal framework for worker classification. As Bloomberg reports, DOL received approval from the White House regulatory office to publish the proposed rule in the Federal Registrar for public comment. The rule will be aimed at providing employers with a framework for determining whether their workers can be classified as independent contractors. In line with President Trump’s agenda, the rule is expected to provide a broad definition of who classifies as an independent contractor. The rule is expected to be finalized before the end of the current presidential term.
In California, the labor movement scored a minor victory against gig companies in the ongoing court battle over the state’s worker classification law, Assembly Bill 5 (AB 5). In the latest ruling, the court dismissed most of Uber and Postmates’ arguments that the law violates their constitutional rights. The court determined that, contrary to their claims, the gig companies were not unfairly singled out by the rule. The court concluded that the companies failed to prove that the rule served no legitimate government purpose. Further, there was no evidence that that law was enacted with “irrational animus” or “favoritism towards unions or other groups.” The plaintiffs will still have an opportunity to amend their constitutional claims by October 9, the court ruled.
Cybercriminals have reportedly stolen up to $1 billion in unemployment aid since the start of the pandemic. According to NBC, state and federal officials report that fraudsters are increasingly targeting state and federal unemployment programs, with their main target being Pandemic Unemployment Assistance. Federal officials are currently investigating over 500 such cases of fraud across the country. In Colorado for instance, 75 percent of unemployment applications were deemed fraudulent in one month. The widespread fraud no doubt is partly why more than 12 million Americans are still waiting on needed benefits.
And finally, a large market research company is being sued for discrimination against women and people of color. In a proposed class action lawsuit filed against Independent Resources, Inc., two former employees claim the company gave women and employees of color more work, less pay, and fewer opportunities for advancement. The suit further alleges the company retaliated against the employees for speaking out about the issue. While the company has been vocal about diversity, none of its board members and only one of its ten executives is a woman.
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June 20
Three state bills challenge Garmon preemption; Wisconsin passes a bill establishing portable benefits for gig workers; and a sharp increase in workplace ICE raids contribute to a nationwide labor shortage.
June 19
Report finds retaliatory action by UAW President; Senators question Trump's EEOC pick; California considers new bill to address federal labor law failures.
June 18
Companies dispute NLRB regional directors' authority to make rulings while the Board lacks a quorum; the Department of Justice loses 4,500 employees to the Trump Administration's buyout offers; and a judge dismisses Columbia faculty's lawsuit over the institution's funding cuts.
June 17
NLRB finds a reporter's online criticism of the Washington Post was not protected activity under federal labor law; top union leaders leave the Democratic National Committee amid internal strife; Uber reaches a labor peace agreement with Chicago drivers.
June 16
California considers bill requiring human operators inside autonomous delivery vehicles; Eighth Circuit considers challenge to Minnesota misclassification law and whether "having a family to support" is a gendered comment.
June 15
ICE holds back on some work site raids as unions mobilize; a Maryland judge approves a $400M settlement for poultry processing workers in an antitrust case; and an OMB directive pushes federal agencies to use union PLAs.