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Jun 11, 2025  |  
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Keith Sonderling


NextImg:America must lead on the gig economy — or others will set the rules - Washington Examiner

The gig economy is one of the defining innovations of the 21st century. It has revolutionized how people earn a living, offering flexibility, independence, and opportunity on a global scale. From U.S.-built platforms that power software development and cybersecurity freelancing to ride-hailing, delivery, and home services, the gig economy has opened doors for tens of millions of workers at home and abroad.

For many people, gig work provides supplemental income or a chance to build a small business on their own terms. It’s not just about convenience — it’s a new engine of economic empowerment that taps into the entrepreneurial spirit.

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But that engine is under threat.

The International Labour Organization has begun negotiations in Geneva, Switzerland, on new global labor standards under the label of “platform work.” These rules will address critical issues such as worker classification, data use, pay transparency, and algorithmic management. The United States must lead in shaping these standards, or a rigid, one-size-fits-all framework could emerge to stifle innovation, shrink opportunity, and misrepresent the nature of gig work around the world.

We’ve seen the consequences of overregulation at home. Look at California’s catastrophic Assembly Bill 5, which tried to reclassify most independent contractors as employees. Instead of improving livelihoods, it triggered chaos. Freelancers across media, transportation, tech, and the arts lost contracts overnight. Self-employment rates cratered. Only after a voter revolt and economic fallout did lawmakers scramble to undo the damage, carving out one exemption after another — a slow-motion admission that they had gone too far.

Now, the ILO wants to make AB 5 the global gold standard for the gig economy. That’s a big problem.

After all, the ILO’s current draft fails to distinguish between self-employed gig workers and those more akin to traditional employees.  These proposals ignore a basic truth: Millions of gig workers choose self-employment. They want freedom. They want control — over their schedules, their clients, and their futures. But the ILO’s draft would rip that freedom away and replace it with California-style bureaucracy.

Worse, such an outcome would force U.S. companies to scale back or shut down operations abroad. That would mean fewer opportunities for millions who rely on digital platforms to earn income, both in the U.S. and globally. It would also hurt the customers and communities that depend on these services.

The Trump administration will not sit on the sidelines while some foreign governments push to hamper American innovation in the gig economy worldwide. Under President Donald Trump’s leadership, the Labor Department will take to the world stage to advocate the foundational values that built America: the freedoms to choose one’s path, build one’s business, and collaborate freely in pursuit of prosperity. Here at home, the president is actively working to incentivize gig work by keeping his promise to help people keep more of their hard-earned money by eliminating taxes on tips and extending pro-growth tax cuts.

U.S. companies lead the global gig economy, and their reach matters. These platforms have empowered workers around the world, from rural areas in developing countries to refugees and displaced professionals, offering new paths to stability, income, and digital inclusion. If American platforms are locked out of markets by overly burdensome international rules, those opportunities will disappear.

Gig platforms rely on seamless cross-border operations. Proposals that require compliance with the laws of every country where a worker logs in, regardless of where the platform is based, risk creating a fragmented legal landscape. The result? Uncertainty, higher costs, fewer contracts, and reduced services. That hurts both foreign freelancers and American companies. Well-intentioned labor protections can end up destroying the very job opportunities they’re meant to create. Overly rigid rules don’t guarantee economic security for workers.

In Geneva, we’ll be making it clear: International standards should promote fairness without eliminating choice. That means recognizing the diversity of gig work and respecting national legal systems. We are working across the U.S. government and with global partners to ensure that any agreement at the ILO reflects real-world conditions and supports, rather than smothering economic opportunity.

CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER

America has the responsibility and the credibility to guide this conversation. If we don’t lead, others will — possibly at the cost of our values, workers, and businesses.

The Trump administration will defend the promise of gig work and ensure it remains open, fair, and full of opportunity.

Keith Sonderling is the deputy secretary of labor.