Chile’s 2022 Platform Work Law mandates firms to monitor their subcontractors’ formality and establishes maximum working hours, minimum pay, and the right to collective bargaining among these independent contractors. Unlike other countries where informality matters, Chile further stands out for providing a comprehensive dataset for platform work that tracks workers’ labor market outcomes over 2020-2024. By means of DiD and event study designs, we find that this reform induced an 8-percentage-point shift from the share of informal to formal subcontractors without altering the share of employees. Yet, we find no significant changes in collective bargaining coverage, compliance with minimum pay and maximumhours, and wage differentials between employees and subcontractors. We argue that these changes in hiring practices are consistent with a structural labor market model where firms hire employees and both formal and informal subcontractors. The calibrated model also shows that the reform reduced platforms’ profits, while strictly enforcing hours regulations would lead to very small welfare losses.