Some 99% of American companies are small businesses, and 100% of businesses started out small, but a recently finalized rule from the Biden administration’s Labor Department will make it harder for small businesses to start, grow and succeed.
As of last May 1, a White House news release pointed out, “Young firms, which often start small with few employees, are a driving force in job creation.” That’s been particularly true since the COVID-19 pandemic, as small businesses with fewer than 50 employees have accounted for a growing share of new jobs.
But a new Biden administration rule that significantly restricts the ability of businesses to hire contractors (also known as independent workers, freelancers or gig workers) will instead drive out small-business job creation.
That’s because small businesses rely heavily on contractors, both to help them grow and…
