The US Labor Department said that according to a familiar source of this issue, the investigation of the AI -scale Fair Labor Standards Act.
FLSA is a federal law that regulates employees’ five classifications as independent contractors and unpaid wages. Techcrunch reported for the first time that the size was the subject of such a survey in March.
Upwork and Hireart, Inc. Two of the HR partners of the Scale AI, which are being investigated for the magazine FLSA Compliance, are no longer investigated by DOL, and each has been confirmed in TechCrunch, respectively.
Last year, the $ 13.8 billion Scale AI depends on the workers’ army classified as a contractor to perform important AI tasks, such as displaying an image of Big Tech.
However, former employees were accused of being accused of being unfairly classified as a contractor instead of employees, refusing to approach the benefits such as sick leave.
I’m not sure why DOL dropped the probe. The San Francisco -based AI refused to comment, but DOL did not respond to the request.
But there are some reasons.
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Recently, DOL suggested DOL in a more friendly approach to classify workers as contractors, and agencies announced that they no longer implement the Biden era rules at least now on May 1st.
The scale AI is also looking for favor from the Trump administration. Alexandr Wang’s CEO attended Trump’s inauguration (like many other technical CEOs) and announced a letter called Trump calling for a call for “winning in the AI war.”
Meanwhile, Michael Kratsios, former director of Scale AI, was confirmed as a new director of the White House Science and Technology Policy Office in March.
This position includes advice to the president about science and technical issues and does not have a supervision of DOL. Kratsios did not immediately respond to the request.
