Landmark Ruling against Uber Hits Gig Market

Uber has lost a landmark Employment Appeal Tribunal case, which could have some serious implications for labour rights in Britain, and change the face of the gig economy. The ride-hailing company Uber has lost an appeal against a ruling which said that drivers who work for the company must be classified as workers, and are entitled to minimum wage. Uber makes the case that the drivers are self-employed, and plans to appeal against the decision.

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shareprices.com - Sunday, November 12, 2017

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Two drivers, James Farrar and Yaseen Aslam, took the company to an employment tribunal, backed by the GMB, arguing that they should be classed as workers, with the rights that are associated with the title.

Uber believes that the EAT ruling could deprive drivers of the flexibility that makes working for them so appealing. The Independent Worker’s Union of Great Britain has said that the decision showed that companies such as Uber were choosing to deprive workers of their rights, and the drivers themselves said that they were glad that the judge confirmed what they, and the thousands of other drivers affected, knew all along - that treating drivers as self-employed was unlawful and was exploiting the drivers. Uber argues that the app was merely offering drivers a service to allow them to find customers.

The gig economy is something that has been growing in the UK, with many companies offering platforms for micro jobs and tasks, and paying small amounts per task instead of a salary to the workers.

 

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