The U.K. Supreme Court ruled today that drivers for Uber, the ride-hailing service giant, are entitled to labor rights. The ruling will have a huge impact on the gig economy.
AFP reports that after years of litigation between Uber, the Silicon Valley ride-hailing and delivery company, and its drivers, the U.K. Supreme Court ruled today that Uber drivers are employed.
Mick Rix, a member of the GMB, said, “It has been a tough four-year legal battle for our members, but a historic victory has finally been achieved.”
“The Supreme Court upheld the decisions of the first three courts, upholding the GMB’s consistent assertion that Uber drivers are laborers and are entitled to vacation, holiday pay and basic pay.”
Uber said it respects the court’s decision.
The 20 Uber drivers argued that they were entitled to wage-earner status based on the long hours they worked through the Uber App (app) and the way Uber supervised their work. Several lower courts ruled in their favor in 2016, 2017 and 2018.
Uber, for its part, maintains that drivers are self-employed because they choose their own hours and locations for work and often find passengers through rival apps.
Now plaintiffs can go to an industrial arbitration tribunal to seek compensation, which could trigger more far-reaching changes affecting all ride-hailing service drivers.
Rioux said, “The UK General Union will now be seeking advice from our Uber driving members to discuss subsequent claims.”
The ruling could have an equal impact on other online platforms in the UK’s odd-job economy. The odd-job economy refers to short-term work without a formal contract, or work without guaranteed hours.
Delivery workers from the Food delivery app Deliveroo are also currently fighting for collective bargaining rights in the London Court of Appeal.
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