The National Labor Relations Board's general counsel ruled on Tuesday that U.S.-based Uber drivers are contractors, not legal "employees," meaning they are not entitled to federal protections for workplace organizing activities. The decision is seen as another move by a federal agency under the Trump administration to loosen up work classification regulations for employers, as the gig economy and reliance on freelance work expand.
The NLRB cited Uber drivers' "entrepreneurial opportunity" as a leading reason for its conclusion. "Drivers' virtually complete control of their cars, work schedules, and log-in locations, together with their freedom to work for competitors of Uber, provided them with significant entrepreneurial opportunity," the NLRB's Division of Advice wrote in a memo on the matter. Of course, it's apparent that a lot of Uber drivers would disagree with this notion, since many just went on strike to address issues regarding their pay and company transparency.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
-
Quiz of The Week: 24 – 30 MayHave you been paying attention to The Week's news?
-
The Week Unwrapped: Will Europe beat China and India to the North Pole?Podcast Plus, is the man who designed the iPhone going to kill his own creation? And what's going on at the equalities watchdog?
-
Is it finally all change for train Wi-Fi?In The Spotlight South Western Railway's 5G Wi-Fi service has changed the way passengers connect – but will the new system catch on?
-
Crypto firm Coinbase hacked, faces SEC scrutinySpeed Read The Securities and Exchange Commission has also been investigating whether Coinbase misstated its user numbers in past disclosures
-
Starbucks baristas strike over dress codespeed read The new uniform 'puts the burden on baristas' to buy new clothes, said a Starbucks Workers United union delegate
-
Warren Buffet announces surprise retirementspeed read At the annual meeting of Berkshire Hathaway, the billionaire investor named Vice Chairman Greg Abel his replacement
-
Trump calls Amazon's Bezos over tariff displaySpeed Read The president was not happy with reports that Amazon would list the added cost from tariffs alongside product prices
-
Markets notch worst quarter in years as new tariffs loomSpeed Read The S&P 500 is on track for its worst month since 2022 as investors brace for Trump's tariffs
-
Tesla Cybertrucks recalled over dislodging panelsSpeed Read Almost every Cybertruck in the US has been recalled over a stainless steel panel that could fall off
-
Crafting emporium Joann is going out of businessSpeed Read The 82-year-old fabric and crafts store will be closing all 800 of its stores
-
Trump's China tariffs start after Canada, Mexico pausesSpeed Read The president paused his tariffs on America's closest neighbors after speaking to their leaders, but his import tax on Chinese goods has taken effect
