The Federal Trade Commission announced Thursday that it plans to crack down on the exploitation of gig workers, whom the agency said are entitled to protection regardless of their worker classification.
The commission adopted a policy statement that details issues gig workers face — including deceptive claims about their wages and hours, unfair contract terms and more — and what the FTC plans to do about it. Though the commission did not mention any companies by name, the message is clear: It plans to hold “gig-work” mainstays like Uber Technologies Inc. UBER, -1.38%, Lyft Inc. LYFT, -0.18%, DoorDash Inc. DASH, -0.42% and Instacart accountable for the promises they make to potential workers and how they treat the ride-hailing drivers and delivery workers who use their platforms.
Gig companies consider their workers independent contractors and have fought to keep doing so. President Joe Biden campaigned on addressing worker misclassification; this is the first action under his administration that specifically promises enforcement over gig companies’ treatment of their workers.
Source: Market Watch
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