#1. Reining in gig economy
A new law in California limits the ability of companies to classify workers as independent contractors, rather than employees. The move is aimed at gig economy companies who, according to critics, give their workers the responsibilities of employment – fixed hours, for example – without the corresponding benefits, such as sick pay or holiday entitlement. However, the new law is likely to have unintended consequences, with companies simply getting rid of freelancers in favor of a smaller number of full-time employees or focusing their efforts on other states. Meanwhile, the gig economy is booming, suggesting that customers, workers, and businesses all see benefits.
💡 Sometimes less is more: instead of rigid restrictions, we would do better to focus on smart regulations that make the gig economy work for everyone involved.