Uber (UBER), Lyft (LYFT) DoorDash (DASH) – Gig Economy Regulation – January 13, 2024
The gig economy received a bit of good regulatory news this week in the USA. The Biden Administration finalized new rules and regulations on gig worker classification. These classifications were less restrictive than feared. Notably, Uber doesn’t expect any worker reclassifications to full time employees stemming from this news. The rules, as its presser stated, were “intended to address misclassification of workers in traditional industries.” Not industries broadly determined to be entrenched in the gig economy world. Good news for margins and good news for consumer surcharges. I’d also argue that this is good news for workers. The vast majority of its drivers don’t want to be full-time employees and prefer the scheduling flexibility of a gig economy worker.
