Human rights group says major US digital labor platforms misclassifying gig workers – JURIST

Human Rights Watch (HRW) said Monday that major digital labor companies misclassify gig workers as independent contractors in the US, avoiding employer responsibilities in providing labor rights.
According to the 155-page report published by HRW, several major companies that claim to offer gig workers “flexibility” in their working hours through digital labor format use algorithms that lack transparency on wages and job security for the workers, who fear being fired by the apps without any explanation. Companies in the study included Amazon Flex, DoorDash, Favor, Instacart, Lyft, Shipt, and Uber.
HRW noted that this flexibility and lack of transparency make major companies misclassify workers as independent contractors rather than full-time employees. Companies subsequently “avoid compliance with minimum wage laws, overtime pay, and contributions to nonwage benefits,” and do not contribute to “Social Security, Medicare and unemployment insurance, depriving public funds of critical resources.”
On the other hand, the profits of big companies have substantially increased, with Uber and DoorDash reporting $43.9 billion and $10.72 billion in revenue in 2024, respectively, a substantial increase from previous years.
HRW urged the US Department of Labor, the Federal Trade Commission, and other similar agencies to take steps in preventing workplace safety neglect and the protection of labor rights as prescribed by federal minimum wage standards and international human rights law.
Article 23(1) of the Universal Declaration of Human Rights conditions that everyone has the right to “just and favorable conditions of work and to protection against unemployment.” Article 25 (3) notes that everyone is entitled to a “standard of living adequate for health and well-being.” While this declaration is not directly enforceable in US courts, it creates normative standards that the US has acknowledged through the vote in its support in 1948.