U.S. Labor Secretary Says Gig-Worker Mislabeling Is Major Issue

  • Walsh says misclassification ‘undermines our economy’
  • Changing status would force companies to shoulder more costs

Marty Walsh

Photographer: Yuri Gripas/Abaca/Bloomberg

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The misclassification of employment as “gig work” is a major economic issue that the U.S. Labor Department is working to address, according to Labor Secretary Marty Walsh.

“Misclassified employees often are denied access to critical benefits and protections like overtime, minimum wage, paid leave, unemployment insurance,” Walsh said at an online business-journalism conference Monday, calling it one of the “most serious issues” in the jobs market. “It undermines our economy. We have some work to do in this space.”