The US Securities and Exchange Commission is proposing rules that would allow gig economy platform companies such as Uber Technologies Inc. (NYSE: UBER) and DoorDash Inc. the ability to offer workers on their platforms compensation through stock. The announcement came last week.
“Work relationships have evolved along with technology, and workers who participate in the gig economy have become increasingly important to the continued growth of the broader US economy,” SEC Chairman Jay Clayton said. “The rules we are proposing today are intended to allow platform workers to participate at a measured level — up to 15% of their compensation — in the growth of the companies that their efforts support.”
The rules would allow the compensation on a temporary basis over a five-year period and limit it to no more than 15% of annual compensation and no more than $75,000 over three years.
The proposed rules will be subject to a 60-day public comment period.