Hickenlooper, Sanders, Colleagues Protest Trump Admin Rule to Exploit Workers

An estimated 10% to 30% of employers misclassify their employees, leaving millions of workers without fair labor protections

WASHINGTON - U.S. Senators John Hickenlooper and Bernie Sanders, along with 19 of their Democratic Senate colleagues, demanded Acting Secretary of Labor Keith Sonderling withdraw a recent proposed rule allowing employers to misclassify employees as independent contractors to suppress their wages and benefits. This week, during Hickenlooper's roundtable about the cost-of-living emergency with Colorado workers, labor leaders spoke out against the practice that hurts workers.

"While 60% of Americans are living paycheck to paycheck, it is unacceptable that the Administration is focused on making it easier to exploit workers, rather than making life more affordable for working families," wrote the senators. "Instead of protecting America's workers, this proposed rule would be a disaster for workers across the country, especially the workers most vulnerable to exploitation. We urge you to do the right thing, immediately reverse course and withdraw the proposed rule."

The rule makes it easier to exploit workers and deny them basic labor protections, including minimum wage, overtime, and family and medical leave. It also allows employers to deny protections for migrant and seasonal agricultural workers.

For example, according to the Economic Policy Institute, a typical truck driver loses as much as $23,300 a year in income and benefits as a result of being misclassified. A misclassified construction worker could lose more than $20,000 a year and a misclassified home health aide could lose more than $10,000 a year.

Hickenlooper is a strong advocate for workers rights and protections. As governor, he created the Joint Enforcement Task Force on Payroll Fraud and Employee Misclassification in the Construction Industry to address the issue of employee misclassification in Colorado's construction industry. He also jumpstarted CareerWise Colorado, a nonprofit designed to create statewide apprenticeship opportunities to prepare students for high-paying, competitive jobs at Colorado companies.

When Colorado workers at JBS went on strike this year, Hickenlooper stood with them in their fight to secure better working conditions and pay. Last year, when workers at King Soopers in Colorado went on strike, he picketed alongside workers in their fight for better work conditions.

Full text of the letter is available HERE and below:

Dear Acting Secretary Sonderling,

We write to strongly oppose the proposed rule that would make it easier to deny workers basic labor standards and protections, including minimum wage and overtime protections, the right to job-protected family and medical leave, and important protections for migrant and seasonal agricultural workers.

Worker misclassification-when employers deliberately classify their workers as "independent contractors" rather than "employees" in order to skirt labor rights and protections-is a rampant and serious issue in the United States. An estimated 10 to 30% of employers misclassify their employees, meaning there are millions of workers across the country who are left without fundamental labor protections.

This has a devastating impact on these workers and their families. For example, according to the Economic Policy Institute, a typical truck driver loses as much as $23,300 a year in income and benefits as a result of being misclassified. A misclassified construction worker could lose more than $20,000 a year and a misclassified home health aide could lose more than $10,000 a year. While 60% of Americans are living paycheck to paycheck, it is unacceptable that the Administration is focused on making it easier to exploit workers, rather than making life more affordable for working families.

By making it easier for employers to misclassify workers, you are giving unscrupulous corporations a free pass to not only avoid paying their workers minimum wage and overtime but also avoid providing job-protected family and medical leave and basic protections to farm workers.

Instead of protecting America's workers, this proposed rule would be a disaster for workers across the country, especially the workers most vulnerable to exploitation. We urge you to do the right thing, immediately reverse course and withdraw the proposed rule.

Sincerely,

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