PROTECTING SMALL BUSINESS, PROMOTING ENTREPRENEURSHIP

Advocate for Entrepreneurs Applauds Action in Two U.S. House Committees to Protect Entrepreneurship and Small Businesses

By at 21 March, 2024, 7:32 pm

NEWS

For Immediate Release

Washington, D.C. – Today, two measures vitally important to protecting independent self-employment and small business competitiveness were advanced at the committee level in the U.S. House of Representatives. The House Committee on Education and the Workforce advanced HJRes 116, a Congressional Review Act (CRA) resolution to nullify the U.S. Department of Labor’s (DOL’s) harmful independent contractor rule. In addition, the House Judiciary Committee advanced the “Prove It Act” (H.R. 7198), which gives small businesses a more effectual voice in federal rulemakings and strengthens federal government accountability when proposed regulations impact small businesses. Small Business & Entrepreneurship Council (SBE Council) president & CEO Karen Kerrigan said these important legislative measures are a needed response to the Biden Administration’s excessive regulatory activity along with a disturbing pattern of flouting laws meant to protect small businesses from costly regulation. Kerrigan said:

“If the bipartisan Prove It Act were in place perhaps the extreme independent contractor rule never would have been finalized. That is likely the case on a wide range of federal rules that will prove to be highly disruptive and costly for entrepreneurs and small businesses. We are pleased that this legislation has been reported out of committee, as it incorporates needed and practical improvements that give entrepreneurs an enhanced voice and process when regulations are proposed, and a response mechanism when legally required analysis has not been properly completed. Such accountability and transparency are desperately needed at a time when Washington, D.C. is cranking out new regulations at a historic pace.”

“The extreme DOL independent contractor regulation threatens economic opportunity at its core. Millions of independent contractors are now living in daily uncertainty, as businesses, governments and non-profits decipher DOL’s complex rules to determine whether they will need to cancel contracts with these self-employed individuals. That means people will lose their financial lifeline and security, and the coveted flexibility that allows them to care for children or other family members. We are pleased HJRes 116 advanced through committee and SBE Council will be working vigorously to push it through Congress.”

Read SBE Council’s full statement of support for the Prove It Act here.

Read more about the importance of nullifying the DOL’s independent contractor rule here and SBE Council statement of support for HJRes 116. In addition, SBE Council joined 47 fellow business organizations in a letter to the House in support of the resolution.

CONTACT:

Karen Kerrigan, kkerrigan@sbecouncil.org

Raymond Keating, rkeating@sbecouncil.org

SBE Council is a nonpartisan advocacy, research and education organization dedicated to protecting small business and promoting entrepreneurship. For nearly 30 years, SBE Council has worked on and advanced a range of private sector and public policy initiatives to strengthen the ecosystem for strong startup activity and small business growth.

Visit www.sbecouncil.org for additional information. Twitter: @SBECouncil

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