Representative Kiley’s CRA to Reverse Biden Regulation Limiting Independent Contractors Passes In Education & the Workforce Committee

WASHINGTON – Today the House Education & the Workforce Committee passed Representative Kevin Kiley’s (R-CA) Congressional Review Act (CRA) resolution to overturn the Department of Labor’s (DOL) final worker classification rule that jeopardizes the ability of millions of Americans to work as independent contractors. The CRA has over 60 cosponsors in the House of Representatives and comes after the DOL final rule was released earlier this year.

Click here to view Rep. Kiley’s remarks from the markup. Click here to read the resolution.

“Washington should support workers, not regulate them into oblivion. As Acting Secretary of Labor, Julie Su and the Biden Administration have announced a new Department of Labor rule, modeled after on the same job-killing AB 5 that will cost millions of independent professionals across the country their livelihoods while restricting the freedom of many millions more to have flexible work arrangements. Our legislation under the Congressional Review Act nullifies this terrible regulation and protects independent contractors. I want to thank Chairwoman Foxx for bringing this legislation to a vote in the markup and I want to thank the Committee for their support,” said Rep. Kiley.

The CRA passed by a vote of 21-13 in the markup.

Background:

Biden Administration rule attempts to restrict the ability of American workers to classify as an independent contractor and take advantage of the flexibility it provides. The rule creates a non-exhaustive, six-factor litmus test for unelected bureaucrats to interpret and decide who is and who is not classified as an independent contractor. It also casts as large a net as possible and gives less legal certainty to independent contractors impacted by the regulation. A recent study out of George Mason University concluded that AB 5 “was associated with a significant decline in self-employment and overall employment in California.”

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