organizations granting them these rights. However, the White Papers that recommend such moves have not yet been adopted in the EU, and the potential impact on UK employment laws is being opposed by key UK organizations lobbying the government to negotiate over the acceptance of EU legislation in such areas.[citation needed] The legal definition of a sole trader requires that he/she must have more than one client or customer which promotes the freelancing ethos.
In the U.S. in 2009, federal and state agencies began increasing their oversight of freelancers and other workers whom employers classify as independent contractors. The U.S. Government Accountability Office (GAO)[36] recommended that the Secretary of Labor have its Wage and Hour Division "focus on misclassification of employees as independent contractors during targeted investigations." The increased regulation is meant to ensure workers are treated fairly and that companies are not misclassifying workers as independent contractors to avoid paying appropriate employment taxes and contributions to workers' compensation and unemployment compensation.
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