On November 24, 2020, the SEC voted 3-2 to propose temporary rules that would permit issuers to provide forms of equity compensation to certain “platform workers” who provide services available through the issuer’s technology-based platform or system, including: (1) expanding the eligible recipients of securities issued under Rule 701 and Form S-8 to include “platform workers” for a five-year time period; (2) establishing requirements that reporting and non-reporting issuers must meet in order to be eligible for the expanded Rule 701 exemption and Form S-8 amendments provided in the temporary rules; and (3) instituting reporting requirements for participating issuers in order for the SEC to evaluate the effectiveness and utility of the proposed rules as well as to ensure robust investor protections. The temporary rules follow the SEC’s 2018 concept release seeking public comment on possible ways to modernize rules related to the issuance of securities pursuant to compensatory arrangements under Rule 701 and Form S-8 in light of significant changes in both the types of compensatory offerings issuers make and the composition of the workforce. In particular, the SEC focused on the rise of the so-called “gig economy,” in which traditional employment and consulting arrangements are replaced with an individual’s use of a company’s Internet platform to provide services to clients, such as food delivery, ride-sharing or pet-sitting services.