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Economy & LaborFIX-ECO-001

Federal Jobs Guarantee & Worker Classification Reform

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Problem

Union membership at historic 9.9% lows while 57 million gig workers lack basic protections. Wage stagnation persists despite record corporate profits, and automation threatens 15 million jobs without a transition framework.

Proposed Fix

Create a permanent federal jobs guarantee at $20/hour minimum with full benefits for infrastructure, care economy, and climate adaptation work. Reclassify gig workers as employees with collective bargaining rights. Restore card-check union recognition.

Economic Impact

EPI modeling shows 15 million jobs created at peak implementation. GDP growth of 1.2% annually from increased consumer spending. Union wage premium would lift median household income 16% within a decade.

Cost of Inaction

If labor power keeps eroding at current rates, gig workers remain misclassified without benefits, wage stagnation persists despite record profits, and the 17% union wage premium stays out of reach for 90% of workers.

Safeguards

  • Jobs Guarantee Board with labor union majority representation
  • Automatic cost-of-living adjustments tied to regional price indices
  • Anti-retaliation protections with triple-damages for employer violations
  • Sunset review every 10 years with mandatory congressional reauthorization

Related Legislation

Implementation Timeline

  1. Pilot districtsYear 1

    Launch jobs guarantee pilots in 10 high-unemployment counties with $20/hr floor and full benefits.

  2. PRO Act labor rightsYear 1–2

    Pass PRO Act provisions: card-check recognition, gig worker reclassification, and triple-damage penalties for union-busting.

  3. National scale-upYear 3–5

    Expand guarantee to all willing workers; Jobs Guarantee Board assumes oversight with union majority.

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