The Magnitude of Low-Paid Gig and Independent Contract Work in New York State

In the wake of California's groundbreaking AB5 legislation, which subjects employers to an “ABC test” that narrows the guidelines for which companies can classify their workers as independent contractors, New York State lawmakers have begun exploring similar measures to better protect workers against misclassification and exploitation.This report will argue that the misclassification of workers as independent contractors is much broader than just the online platform sector, and that many of the largest low-paying industries utilize significant numbers of independent contractors who likely are misclassified. The report estimates that there are about 150,000 app-based independent contractors in New York that constitute about 17.5 percent of over 850,000 low-paid independent contractors in the state.

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