Sponsors (5)
Introduced July 28, 2025 by Brian Emanuel Schatz · Last progress July 28, 2025
The bill greatly expands protections, transparency, and enforcement for app‑based workers — improving pay visibility, data access, and legal remedies — but does so at the cost of significant compliance burdens, privacy risks, potential reduction in gig opportunities or platform services, and concentrated administrative authority that may narrow judicial oversight.
Millions of gig and app-based workers gain clearer legal protections and stronger enforcement tools — including bans on predispute arbitration/class-action waivers, whistleblower and antiretaliation protections, and a private right of action with statutory damages — making it easier to contest pay, deactivations, and algorithmic harms.
Drivers and other app-based service workers are likely to keep a larger share of consumer payments (through a 25% take-rate cap / 75% minimum to workers) and get clearer, itemized pay statements, which should increase take-home pay and make compensation more transparent.
Workers and researchers gain much greater transparency and access to platform decision-making: pre-work notices about monitoring and automated decision systems, itemized receipts and weekly pay statements, individual access to monitored/algorithmic-input data within days, and public aggregated data reporting.
Platforms, vendors, and subcontractors face substantial new compliance costs and exposure to large statutory damages and penalties (including multipliers and CPI escalators), which are likely to be passed to workers and consumers or cause platforms to reduce services or exit markets.
As a result of new liabilities, caps, and disclosure burdens, platforms may scale back third‑party contracts, limit available shifts, withdraw from markets, or change matching/pricing algorithms — reducing flexible, on‑demand work opportunities that many rely on for supplemental or primary income.
Mandated collection, long retention (months to years), and public reporting of detailed worker data increases privacy and data‑breach risks and raises re‑identification concerns for workers in small areas or subgroups.
Based on analysis of 15 sections of legislative text.
Requires digital labor platforms to disclose how they monitor workers and use automated decision systems, limits how platforms can use worker data, and gives workers and authorized agents access to detailed payment and algorithmic information. For ride‑hail services it caps platform fees at 25% of consumer charges (excluding tips), bans certain discriminatory or covert algorithmic pay practices, and forbids predispute arbitration and class‑action waivers. Creates deadlines for agency rulemaking and reporting, gives the Secretary broad investigatory and enforcement powers, establishes private rights of action with statutory damages and civil penalties, mandates multi‑year data retention and worker access to records, and includes anti‑retaliation and whistleblower protections.