The PRO Act – what workers need to know
Worker freedom and flexibility are essential in today’s evolving economy. Americans rely on gig and freelance opportunities to design careers that align with their lifestyles. The PRO Act (Protecting the Right to Organize Act) threatens these freedoms by forcing self-employed workers into employee roles, making union membership mandatory, and limiting the flexibility workers value.
While the PRO Act claims to protect workers, it empowers union bosses at the expense of individual rights. This legislation could reclassify millions of independent contractors, disrupt small businesses, and significantly alter how Americans work.
What is the PRO Act?
The PRO Act is a federal bill that aims to expand union power and increase workplace regulations. The law seeks to rewrite employment rules by making it easier to form unions and imposing new restrictions on self-employed individuals.
Key provisions of the PRO Act:
- Overriding right-to-work laws: Forces workers to pay union fees even in states with right-to-work protections by overriding state laws protecting worker choice.
- The ABC Test for independent contractors: This rigid classification system redefines many self-employed workers, such as freelancers and gig workers, as employees, limiting their flexibility.
- Increased penalties for employers: Companies risk severe penalties for labor practices deemed unfair — not by clear standards, but by partisan regulators. Even when workers support their employer’s approach, businesses still face punishment under vague, shifting rules.
Jaime Gravitt, an entrepreneur and homeschooling mom, supports her family through flexible work — yet with the PRO Act’s potential passage, this livelihood is at risk.
What does the PRO Act mean for independent contractors?
Technology has unleashed new opportunities for Americans to work on their own terms. Online platforms like Uber and DoorDash empower individuals to earn, innovate, and build flexible careers — whether for extra income or long-term success.
Self-employment gives millions of Americans the freedom to choose how, when, and where they work. However, the PRO Act’s rigid ABC test threatens this flexibility, forcing independent contractors into traditional employment structures they don’t want or need.
5 impacts on self-employment
With the rise of gig and self-employment career, this change could leave millions of Americans without the flexible work arrangements they rely on.
- Loss of flexibility: Freelancers and gig workers would lose the ability to set their hours and choose their clients.
- Fewer opportunities: Many people rely on gig work to supplement their income or pursue entrepreneurship. The PRO Act could reduce these opportunities by reclassifying contractors.
- Small business struggles: Startups and small business owners are key members of the self-employment community. Their businesses may be shut down on one hand, and that also cuts off work for flexible contractors that contribute work to small businesses that can no longer legally contract with independent contractors or afford higher payroll costs and compliance burdens even if they could.
- Increased consumer costs: Businesses forced to hire contractors as employees could raise prices to cover additional expenses, hurting consumers or no longer being able to find workers to offer critical services.
- Innovation at risk: Industries that thrive on flexible labor — like tech, media, and delivery services — may slow innovation as businesses adjust to rigid labor rules.
How the PRO Act violates worker rights
The PRO Act would strip away fundamental worker freedoms in several key ways, benefitting unions at the cost of individual choice.
Below are four significant ways this bill undermines worker rights:
- Union coercion in right-to-work states: Workers in right-to-work states would be forced to pay union fees, even if they oppose union activities. This overturns protections that allow workers to opt out of unions and all mandatory payments to unions out of their paychecks.
- Stripping workers of protections during strikes: The PRO Act enables union bosses to push workers into strikes by eliminating protections for those who want to keep their jobs during labor disputes.
- Limiting workers’ negotiation freedom: Mandated union representation would prevent workers from directly negotiating with their employers, limiting their ability to advocate for their personal, differing needs.
- Fewer job opportunities: Small businesses would struggle with the costs of union contracts and unreasonable labor regulations, leading to fewer job openings and reduced economic growth.
What are the long-term implications of the PRO Act?
The PRO Act threatens to reshape the workforce in ways that mirror the negative outcomes seen in California under AB5. When AB5 reclassified freelancers, thousands of jobs were lost, and businesses were forced to pay billions in added expenses. In California, AB5 forced companies to cut jobs, burdened businesses with higher payroll expenses, and reduced income for many gig workers.
The PRO Act would apply similar rules nationwide, jeopardizing the livelihoods of millions of workers across multiple industries. If passed, businesses across industries where independent contractors thrive would face massive disruptions.
Workers and business owners who value flexibility have voiced strong opposition to the PRO Act, warning that it would eliminate opportunities and increase financial strain.
Protecting worker freedom
America’s economy thrives when workers have the freedom to choose their own paths. The PRO Act threatens these freedoms by empowering unions at the expense of workers’ individual rights. To protect opportunity and ensure economic flexibility, Americans must take a stand against this legislation.
Now is the time to support worker freedom and ensure that the rights of independent freelancers and small businesses are preserved. By rejecting the PRO Act, workers can retain control over their careers and maintain the flexibility they rely on to succeed.
The PRO Act would drastically undermine the rights of workers and employers. Join Americans for Prosperity in the fight to protect workers’ rights and oppose the PRO Act today!
