All across the country, people are piecing together a living from freelance jobs, contract work, gig platforms, and small businesses. In fact, more than 74 million Americans now earn income outside a traditional 9-to-5 job. Yet, under current law, those same workers often have no legal mechanism to access the benefits historically associated with full-time employment.
While the way people work has changed dramatically, the way we deliver economic security has not. For decades, labor policies assumed a standard employment relationship in which an employer provides both wages and benefits, such as health insurance and retirement plans. But the rise of remote work, contract engagements, and digital platforms has fractured that model. The disconnect between the nature of modern work and our stubborn insistence on an outdated benefits model has left countless workers without access to health coverage, retirement savings, disability income, and parental leave.
Practical solutions like the Voluntary Portable Benefits Act recognize how people actually work today. The proposal, released by Independent Women, expands access to health care and financial protections while preserving the flexibility that draws many people to independent work in the first place.
For many Hispanics independent work has opened doors while also creating new risks. Hispanics are more likely to work for themselves than many other Americans, especially those who are foreign-born. That’s no coincidence. Hispanic communities have a long tradition of turning to independent work as a way to build opportunity and support their families. From starting small businesses to taking on creative or contract work, independent labor has been a practical path forward.
But flexibility has a tradeoff. Health insurance, retirement savings, and disability coverage are still tied to full-time jobs that many independent workers don’t have or can’t access through spousal coverage. That means someone can be working full-time and still be one illness or injury away from financial stress. Over the years, those missing protections add up, especially as people age and try to plan ahead.
This is where policy has fallen behind reality. Self-employed and independent Hispanic workers are doing everything right—working hard, adapting, and contributing to the economy—yet they remain exposed to risk in ways that families with traditional jobs and traditional benefits are not. That vulnerability is a policy choice, created by a system that hasn’t kept up. Sadly, the consequences are felt most by families trying to build long-term stability.
Portable benefits offer a way out of this false choice. Instead of asking policymakers to choose between worker protections and flexibility, they allow benefits to move with people as their work changes. Workers can build coverage that follows them from job to job, client to client, or platform to platform. Companies and clients can voluntarily contribute to these benefit accounts without triggering reclassification risks that have been a flashpoint in debates over the gig economy.
The Independent Women model legislation embraces this flexibility, removing legal barriers that currently prevent companies from offering workplace benefits to freelancers without jeopardizing their independent status. Importantly, this legislation is not a mandate on businesses; hiring companies and organizations can choose whether to offer portable benefits as an incentive to their independent workforce.
This legislative framework is gaining momentum. Policymakers in states like Tennessee and Alabama have already advanced portable benefits frameworks, and there are federal conversations about similar reforms. Lawmakers from both parties are coming to the same conclusion that a benefits system built around one employer no longer works for today’s workforce.
Critics sometimes worry that loose benefit structures could dilute worker protections or create inconsistent safety nets. That risk underscores the importance of careful policy design. Portable benefits should be structured to ensure transparency and portability across state lines. Without a modern safety net, Hispanic entrepreneurs can find themselves economically exposed when health challenges hit or as retirement approaches. Portable benefits recognize that people want the freedom to work for themselves and would appreciate greater stability.
Our economy works best when people can transition between opportunities without risking their financial security. Policies that strengthen worker security without dictating their choices advance that vision. Portable benefits recognize that work no longer fits into a single box, and our safety net shouldn’t either.
The Voluntary Portable Benefits Act is a step toward bringing policy up to date with reality. It recognizes how Americans actually work and gives people more control over their own security without taking away the flexibility that makes independent work possible. The workforce has already changed. It’s time our policies did too.
Judy Pino is spokesperson and advisor on Hispanic issues for Independent Women’s Voice.
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