Should Congress redefine “employee” under federal labor law?

Awaiting Vote
Bill Summary

H.R. 1319, the Modern Worker Empowerment Act, aims to redefine who qualifies as an “employee” under federal labor laws. It would amend the Fair Labor Standards Act of 1938 and the National Labor Relations Act, replacing the broad “ABC” test with the narrower “common law” test in determining whether an individual is an employee or an independent contractor. The new metric focuses more on the degree of control a company has over a worker, rather than the duties the worker performs. Sponsor: Rep. Kevin Kiley (Republican, California, District 3)
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Opponents say

•    "The H.R. 1319, the so-called Modern Worker Empowerment Act, amends the Fair Labor Standards Act and the National Labor Relations Act to establish a single, and far too narrow, test to determine whether an individual is an independent contractor or employee.  By narrowing the scope of the FLSA and NLRA, this bill makes it more difficult for workers who have been misclassified as independent contractors to receive overtime pay, fair wages, and other basic rights under the law. I cannot overstate the harm this bill could inflict on workers and communities alike.  By codifying the pervasive trend of employers misclassifying their employees as independent contractors, this bill strips workers of their basic wage and hour protections and leaves law-abiding businesses at a competitive disadvantage.  Independent contractors do not get the same protections as wage and hour employees, such as minimum wage, overtime, unemployment compensation, workers' compensation, access to employee healthcare and benefits, pensions, OSHA protections, and the right to organize.  Also, this bill will rob state and local governments of revenue at a time when states must deal with devastating health and food assistance cuts due to President ‘One Big, Ugly Law.’" Source: Rep. Bobby Scott (Democrat, Virginia, District 3) 


•    "On behalf of the Owner-Operator Independent Drivers Association (OOIDA), representing 150,000 small-business truckers, independent contractor owner-operators, and employee drivers, we are contacting you to share our opposition to H.R. 1319, the Modern Worker Empowerment Act. This legislation would restrict independent truckers’ ability to negotiate their working conditions and would allow for carriers to exert greater control over their independent contractors. As Congress and the U.S. Department of Labor have shown interest in worker classification rules, it is absolutely critical that the voices of actual independent truckers, not the mega carriers looking to control them, are prioritized." Source: Bryce Mongeon, Director of Legislative Affairs at OOIDA


•    "I support workers and I’ll always defend your rights in the workplace. That’s why I’m opposing the Modern Worker Empowerment Act - it’s the wrong approach that harms, not helps, working people.Independent work should be a choice—not an excuse for companies to cut corners. We shouldn’t make it easier for employers to misclassify workers as independent contractors, stripping basic rights like overtime pay, minimum wage protections, and the ability to organize. This bill opens the door to abuse, especially in industries like construction, trucking, home care, and janitorial work where misclassification is already a significant problem." Source: Rep. John Mannion (Democrat, New York, District 22)

Proponents say

•    "California’s disastrous AB 5 law wreaked havoc on independent workers, stripping them of their ability to work on their own terms and forcing businesses to cut off contractor relationships. Shifting federal regulations threaten to impose similar uncertainty nationwide, putting millions of workers at risk. By codifying both these protections into law, we prevent future administrations from undermining independent workers and provide businesses with the confidence to fully engage with a modern, flexible workforce." Source: Rep. Kevin Kiley (Republican, California, District 3) 


•    "Rep. Kiley’s Modern Worker Empowerment Act modernizes outdated federal standards, providing much-needed clarity and ensuring that workers and businesses alike can continue to innovate, grow, and succeed in today’s evolving economy. We thank Rep. Kiley for championing this vital cause and standing up for the freedom of workers to shape their futures on their own terms. AHLA is proud to support this effort as it moves forward in Congress." Source: Rosanna Maietta, President and CEO at the American Hotel & Lodging Association


•    "H.R. 1319, the Modern Worker Empowerment Act, supports independent contractors by clearly defining the line between employee and independent contractor under the Fair Labor Standards Act and the National Labor Relations Act. As expert witnesses have told the Subcommittee on Workforce Protections, many businesses have experienced administrative whiplash from regulatory changes affecting independent workers. The Modern Worker Empowerment Act will provide certainty for many businesses and independent contractors by using a similar framework that the Trump Department of Labor finalized in 2021. I would like to thank the American Trucking Associations for their strong support and acknowledge the independent workers who came to join us here today." Source: Rep. Tim Wahlberg (Republican, Michigan, District 5)