Portable Benefits Are (Finally) Having a Moment
From working paper to working policy: Evidence-based reforms expanding flexible benefits for a flexible workforce
From Fringe to Front Page
Five years ago, when I first began sharing my research with lawmakers about a voluntary portable benefits approach for independent and gig workers, it felt too unconventional — a niche idea that didn’t quite fit into the standard policy debates of the time.
Now, that once-niche idea has gone mainstream. Sen. Bill Cassidy recently introduced a legislative package to support portable benefits — building on a Senate HELP white paper that cites our research. Earlier this year, Rep. Kevin Kiley introduced a House version, which passed in a committee vote yesterday. Meanwhile, states are paving the way: Wisconsin, Tennessee, and Alabama have all passed portable benefits reforms in 2025, following Utah’s lead in 2023. Governors in Pennsylvania, Georgia, and Maryland have also approved pilot programs to test the model.
And earlier this week, the Wall Street Journal editorial board published an endorsement of this approach. The revolution is here — and it’s voluntary, flexible, and worker first.
I’ve been fortunate to contribute to this conversation from the beginning — by publishing research and policy guides that examine outdated assumptions about work and benefits. I’ve shared these findings with Sen. Cassidy’s and Rep. Kiley’s team, as well as with every congressional or state lawmaker who showed interest — and have testified more than a dozen times before Congress and in state legislative hearings.
It’s surreal (and deeply encouraging) to see how far we’ve come. Let’s talk about how this once-niche idea just went mainstream.
States Led the Way
When I first brought my research to congressional staff, interest was limited. So I shifted focus to the states — and that’s where the breakthrough happened. Utah became the first to adopt the voluntary portable benefits model in 2023, and since then, nine other states have introduced similar bills. Three of them have passed legislation, and governors in Pennsylvania, Georgia, and Maryland have approved pilot programs — facilitated by the benefits company Stride. These early state-led efforts proved that the model works — and helped pave the way for federal action.
Other portable benefits models exist too — notably in California (Prop 22), Washington, and Massachusetts — where companies like Uber, Lyft, DoorDash, and Instacart are legally required to provide a menu of benefits to gig workers.
The voluntary model, informed by our research, takes a different path. It doesn’t mandate benefits — it removes the legal barriers that prevent companies or clients from offering them in the first place. It also applies broadly to all independent workers, not just those in a single industry.
Five Reason Why the Ideas Are Taking Off
Not Your Grandfather’s Workplace
The U.S. labor market is no longer built around lifelong, single-employer jobs — and hasn’t been for a long time. Today, people move in and out of jobs, take on side gigs while caregiving or studying, freelance professionally, launch entrepreneurial ventures, or earn income from multiple sources. Roughly 27 million Americans now work independently — whether in a primary job or to supplement other income — and that number is only expected to grow. As I emphasized in my May 2025 testimony before Congress, portable benefits offer a modern solution for a modern workforce — one that reflects how people actually work today.It’s What Independent Workers Want
Most independent workers aren’t looking to be reclassified — they simply want access to benefits without giving up their autonomy. According to the BLS, over 80% say they prefer their current work arrangement, and fewer than 9% say they’d rather be a traditional employee. Portable benefits accounts offer a way to access health insurance support, retirement savings, and paid time off — all without changing how or why they work. In fact, 81% of self-employed workers say they want portable benefits solutions.The Research on Reclassification: Fewer Jobs, Not Better Ones
Attempts to force legitimate independent workers into traditional employment through laws like California’s AB 5 don’t convert contractors into W-2 employees — they just reduce work opportunities. My research team’s study found that after AB5 took effect, self-employment in affected occupations dropped by over 10%, without an accompanying increase in W-2 workers for those affected occupations. Similar effects have been found in states that implemented ABC test. Our preliminary results show ABC tests laws reduce both self-employment and standard W-2 jobs across the board.
Bipartisan Support
Portable benefits reform has attracted rare bipartisan support. Center-left groups such as Brookings and Progressive Policy Institute have long backed the idea, while center-right organizations such as the Independent Women’s Forum and Americans for Prosperity emphasize its value for preserving worker flexibility. Bipartisan federal legislation encouraging pilot portable benefits programs from Sens. Warner and Young and Rep. DelBene reflects this growing momentum. At the state level, Democratic lawmakers in Maryland and Pennsylvania have allowed for pilot programs in their states, and across the country portable benefits legislation is often co-sponsored by both parties — a sign of how practical and widely resonant this idea has become.Marginal Steps Toward a Better World
These reforms are practical and incremental — designed to give companies and clients the legal clarity to offer benefits voluntarily. In places like Utah and Pennsylvania, workers are already using funds from portable benefits accounts to pay for health insurance premiums, save for retirement, or take paid time off. The contributions may be modest at first, but for many, this marks the first time they’ve had access to any kind of benefits safety net. These early steps are building a foundation for what could become a new pillar of economic security for the flexible workforce.
What’s Next?
For the next few months, all eyes are on Washington D.C. These are the two key federal bills that could shape the future of portable benefits nationwide:
S.2210 - Unlocking Benefits for Independent Workers Act (Cassidy’s Senate bill): Introduced in July 2025, this bill creates a legal safe harbor for companies and clients to contribute to benefit accounts for independent workers without legal risk. Last week, Senate HELP held a hearing on this bill.
H.R. 1320 - Modern Worker Security Act (Kiley’s House bill): Introduced in February 2025 and passed in a committee vote yesterday. Like Sen. Cassidy’s bill, it creates a legal safe harbor and is aimed at expanding voluntary portable benefits across sectors.
If passed, these bills would open the door for national adoption — giving workers more security and companies the legal clarity to offer those benefits.
Research and Resources
Selected Testimonies:
Nevada testimony (May 2025)
Massachusetts testimony (March 2024)
Utah testimony (February 2023)
Selected Op-eds:
“Could Congress Finally Delivery Benefits for All Workers?” (National Review, July 2025)
“How Portable Benefits Can Drive US Innovation and Job Growth” (The Hill, February 2025)
“Here’s One Way America’s Many Pro-worker Candidates Can Deliver” (The Hill, October 2024)
“Utah is the First State to Truly Welcome the Gig Economy” (Salt Lake Tribune, May 2023)
Policy Guides:
Federal Policy Guide on Portable Benefits
State Policy Guide on Portable Benefits
Response to Senator Cassidy’s Request for Information on Portable Benefits
Research Studies:
Flexible Benefits for a Flexible Workforce: Unleashing Portable Benefits for Independent Workers and the Gig Economy (2023)
Assessing the Impact of Worker Reclassification: Employment Outcomes Post–California AB5 (2024)
Understanding Non-Traditional Work and the Policy Landscape (2023)
Barriers to Portable Benefits Solutions for Independent Workers and the Gig Economy (2020)