By Yalonda James
Source: San Francisco Chronicle
The Biden administration announced a labor rule Tuesday that is likely to classify thousands of drivers for Uber, Lyft and other companies as employees rather than contractors, entitling them to minimum wages and overtime pay.
The Department of Labor’s regulation clarifies who is covered as an employee under federal law and will subject ride-hailing and delivery drivers, among others, to that test. The rules consider factors such as how much control the hiring company has over the work, whether it is essential to the company’s business, and whether the worker has made an independent investment and could make a profit or suffer a loss.
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