‘It’s a big deal,’ says CEO as Target-owned company makes big benefit changes for gig workers in US state
THE CEO of a healthcare company has hailed a law designed to benefit gig workers.
Stride Healthcare works with Shipt, a delivery service owned by Target, that helps drivers access affordable healthcare.
Now, a law in Utah allows firms who rely on the gig economy can pay into freelancers benefits but they don't have to define them as permanent employees, per The Salt Lake Tribune.
Gig workers are not permanent staffers meaning they traditionally don’t have access to workplace benefits such as health insurance.
Noah Lang, the CEO, is among the execs who have welcomed the law.
“It’s a big deal and a simple piece of legislation,” he said.
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"It makes it easier for companies to pay benefits for 1099 workers."
Stride has launched its own Stride Contributions tool that makes it easier for companies to contribute to workers’ benefits, Lang said.
“The future of work isn’t in the future; it’s here now.”
Stride has since teamed up with a Utah company.
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This move has been welcomed by politicians in the state.
“From gig employees to traditional entrepreneurs, Utah workers and companies will have newfound flexibility with these portable benefits,” Governor Spencer Cox said.
John D Johnson, a state senator, hailed how gig workers have been empowered.
Stride and Shipt announced their partnership in November last year.
Drivers can opt into dental and healthcare plans via the Stride platform.
Stride users can get personalized plans that are based on their healthcare needs.
The company also offers support so customers can get the most out of their plans.
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Stride has tools that allow customers to take advantage of discounts as well as tax support measures.
Americans can change their insurance plan or subscribe to health insurance between November 1 and January 15 via the Stride platform during the Open Enrollment period.
Otherwise, they have to wait unless there is a major event such as the birth of their child.
Research revealed around 55% of gig workers were worried about the cost of healthcare, per Stride Health.
More than 30% felt overwhelmed when it came to finding insurance.
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“We're incredibly proud to be expanding our audience and partnering with Shipt to ensure shoppers and drivers everywhere have access to affordable healthcare coverage for themselves and their families,” Lang said at the time.
Stride has helped millions of workers save more than $5 billion on taxes since the company was founded in 2014.