Stars Align in Texas for the Gig Economy

The classification of gig economy workers as “employees” or “independent contractors” has been the subject of intense debate since that term entered the lexicon. State courts, federal courts and regulatory bodies have reached different, and often, conflicting conclusions based on identical facts and often with respect to the same company, such as Uber.

The Obama administration asserted that workers in the gig economy were employees. This determination was significant as employees – in contrast to independent contractors – are generally entitled to overtime pay and unemployment compensation, must be offered certain health insurance benefits and can organize or join a union.