The Empowering App-Based Workers Act is a federal law designed to bring transparency and fairness to app-based work platforms like Uber, DoorDash, and similar services. Right now, millions of Americans work through apps that assign tasks, set pay, and monitor their work—but workers often have no idea how these systems actually work or make decisions about their jobs.

The bill requires app-based platforms to be transparent about how they use algorithms and monitoring tools. Companies must tell workers what data they're collecting, how they're using it to make decisions about work assignments and pay, and explain the methods behind their algorithms. Workers also get the right to access their own data and understand why they were denied work, had their pay reduced, or were suspended from the platform.

The law specifically addresses "take rates" in ride-hailing services—the percentage of each fare that companies like Uber keep instead of paying to drivers. The bill caps this at 25 percent, meaning drivers must receive at least 75 percent of what customers pay. This addresses a major complaint from drivers who have seen their earnings drop even as passenger fares increased.

The bill also protects workers from unfair contract terms. Companies can no longer force workers to sign agreements that prevent them from joining class-action lawsuits or arbitration cases together. Additionally, the law requires platforms to be transparent about pricing practices to ensure they're not discriminating based on worker or customer characteristics.