US Politics

GOP targets Biden’s Labor nominee for policies that would hurt gig economy, franchise workers

Deputy Labor Secretary Julie Su hopes to be the next Labor secretary under President Biden, but she is facing early attacks from the GOP. (Photo by Roy Rochlin/Getty Images for One Fair Wage)

President Biden’s pick to be the next Labor secretary is already being accused by Republicans of supporting policies that would hurt gig economy and franchise workers, arguments that signal the GOP will look to topple yet another Biden administration nominee.

Sen. Bill Cassidy, R-La., is the top Republican on the Health, Education, Labor and Pensions (HELP) Committee that will consider the nomination of Julie Su, who became acting Labor Secretary after Marty Walsh stepped down in mid-March to lead the national hockey players’ union. Cassidy told Fox News Digital that based on her performance as secretary of the California Labor and Workforce Development Agency, and as deputy Labor secretary, Su is wrong for gig economy workers.

Cassidy said that during her tenure as California’s labor chief, Su supported a regulatory proposal known as AB5, which was aimed at tightening restrictions on who employers could classify as an independent contractor. He said Su would pursue] similar goals in Washington.

“Julie Su has overseen the development of anti-worker regulations at Labor that would destroy the gig economy, striping 21 million individuals of their ability to be independent contractors and enjoy the flexibility it provides,” Cassidy told Fox News Digital.

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Deputy Labor Secretary Julie Su hopes to be the next Labor secretary under President Biden, but she is facing early attacks from the GOP. (Photo by Roy Rochlin/Getty Images for One Fair Wage) (Photo by Roy Rochlin/Getty Images for One Fair Wage)

Su also supported what became known as the “joint employer rule” in California, which was designed to extend a franchisee operator’s liability to the franchisor. Opponents of the provision argue that it would make it more difficult to create and sustain franchise businesses because it would unfairly make the parent company liable for incidents at the franchisee level, and in the end, make it more difficult to employ people in these companies.

“She has made public comments about her intention to impose the joint employer rule on franchises nationwide. This would uproot the franchise model which employs over 8 million Americans,” the senator said.

Cassidy’s comments are an early signal of the direction Senate Republicans will take as they consider Su, just weeks after they managed to derail two of the president’s high profile nominations in just one…

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