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Liya Palagashvili, Senior Research Fellow at Mercatus Center

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Leaders,

What does the future of independent work look like, and how are policies shaping its trajectory? In this episode, we sit down with Liya Palagashvili to unpack the economic trends, policy changes, and workforce dynamics that are shaping the shift toward flexible employment.

Liya shares her journey from academia to workforce research, revealing how small businesses and independent professionals have driven the growth of freelancing long before the rise of the gig economy. She also highlights the critical role that data and research play in shaping legislation, dispelling misconceptions about misclassification, and ensuring policies support, rather than restrict, independent workers.

We explore:

The real numbers behind independent work, including why 80% of freelancers prefer their work arrangements and how older workers and women are fueling its expansion.
How laws like California’s AB5 unintentionally hurt freelancers, reducing self-employment and even W-2 jobs in affected states.
Why control is at the heart of the policy debate, and how new legislation could create portable benefits and provide clearer guidelines for independent contractor classification.
The employer perspective: why businesses hesitate to engage freelancers due to regulatory uncertainty and how policies could encourage innovation rather than stifle it.
What’s next for independent work, from policy shifts in Washington to the evolving mindset of businesses navigating the modern workforce.

As freelancing and flexible work continue to grow, policymakers, business leaders, and independent professionals must align on solutions that preserve flexibility while ensuring stability.

Chapters

00:00 Introduction to the Conversation

02:01 Understanding the Policy Environment

12:01 The Role of Data in Policy Making

15:01 Personal Journeys into Freelancing

27:13 Current State of Independent Contractor Policy

35:54 Demographics and Trends in Independent Work

37:32 The Rise of Flexible Work for Older Workers

41:28 Women in Independent Work: Trends and Insights

44:43 The Shift from Traditional Employment to Freelancing

48:16 Understanding Independent Contractor Policies

55:17 The Impact of ABC Test Laws on Employment

01:05:26 Future Legislation and the Path Forward for Freelancers

Follow Up Material & Links

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Liya Palagashvili, Senior Research Fellow at Mercatus Center