The gig economy is constantly evolving, which poses challenges at the state and federal levels worldwide. For example, California passed Assembly Bill No. 5 which means workers are classified as independent contractors or employees and forces them to receive benefits.1 Recently, the United States Department of Labor released a final rule that would make it easier for workers to be classified as employees, qualifying them for benefits such as a minimum wage and overtime pay. The new rule will enable more effective enforcement against businesses that purposely misclassify workers to save money.2 While the employment statuses of workers are still being established in countries outside of the United States, you can view a landscape of the state-based and global laws and regulations in the website section.
Participating in the rideshare program also comes with Challenges. For example, conflict exists between contractors who work for ride-sharing programs and unionized taxicab companies. The primary conflict is that rideshare drivers do not follow or adhere to the same rules and regulations that taxicab companies comply with. The conflict creates problems as customers seek cheaper fares and alternative options.
Researchers with legal questions on the gig economy should visit the Law Reading Room and view their library guide to Employment and Labor Law.
The print and online resources below provide information on labor laws and regulations.
The following titles link to fuller bibliographic information in the Library of Congress Online Catalog. Links to additional online content are included when available.
1. Assembly Bill No.5. California Legislative Information External September 19, 2019. Back to text
2.. United States Department of Labor Announces Final Rule on Classifying Workers as Employees or Independent Contractors Under the Fair Labor Standards Act. Press release. U.S. Department of Labor External January 9, 2024. Back to text