The Trump administration is preparing to roll back Biden-era regulations that made it harder for companies to classify workers as independent contractors. The proposed changes would simplify the criteria companies use to determine worker status, potentially affecting millions of gig economy workers.

The move represents a significant shift in labor policy, reversing stricter guidelines implemented under the previous administration. These rules had expanded protections for gig workers by making it more difficult for companies like Uber, Lyft, and DoorDash to classify them as independent contractors rather than employees entitled to benefits.

Business groups have welcomed the potential reversal, arguing that flexible work arrangements benefit both companies and workers who prefer independent contractor status. Labor advocates, however, warn that the changes could erode worker protections and benefits. The proposal's impact on the rapidly growing gig economy remains to be seen as the administration moves forward with the regulatory rollback.