The Biden administration is withdrawing a Trump-era rule that would have let companies classify gig workers as independent contractors more easily, according to Reuters.

The NAM’s view: “Independent contractor arrangements benefit companies and workers by increasing flexibility and streamlining the human resources processes,” said NAM Director of Labor and Employment Policy Drew Schneider when the rule was first released. He further explained: “Manufacturers are currently operating under a confusing patchwork of state and federal laws that have defined independent contractors in numerous ways, causing legal uncertainty and unnecessary compliance costs.” “Manufacturers and their business partners will benefit from a clear and updated independent contractor standard that protects this important business practice and allows NAM members to focus on producing America’s essential goods and services.”