WASHINGTON - The Biden administration nullified a Trump-era rule Wednesday that would have made it easier to classify workers as independent contractors, blocking a change supported by delivery and ride-hailing services.The Labor Department's decision came just two days before the Trump-era rule was supposed to take effect.
The move means the Labor Department will continue to use existing rules under the 1938 Fair Labor Standards Act to determine whether a worker should be classified as an independent contractor.Under the existing system, app-based companies such as Uber, DoorDash and Instacart had already been able to classify their gig workforce as independent contractors.