Uber
Under the directive, 4.1 million couriers, drivers, masseurs, personal trainers, cleaners, and others who use digital platforms to find work will get minimum wage, sick leave, paid holidays, and other legal protections not yet afforded to them.
The legislation, if approved, would amount to one of the strictest measures pertaining to the "gig economy" to date, fundamentally changing the relationship between digital workers and the apps they use across the European Union.
5.5 million workers across the bloc are currently miss-classed as self-employed, according to the Commission. At the same time, the E.U. estimates that the number of digital workers will nearly double over the next four years, from 28 million today to 43 million in 2025, adding further impetus to the Commission's efforts to expand worker protections.
"With more and more jobs created by digital labor platforms, we need to ensure decent working conditions for all those deriving their income from such work," said Margrethe Vestager, the Commission's Executive Vice President.
The measure should "signal the end of the free for all," for those like Uber, Deliveroo, and others, said the European Trade Union Confederation, Ludovic Vote, as reported by the Guardian.
"For too long, platform companies have made huge profits by dodging their most basic obligations as employers at the expense of workers while peddling the lie that they provided choice to workers," he said.
The legislation is by no means final. To become law, European Parliament and the Union's member states must agree to it. If approved, the measure would go through a two-year implementation period in each country, each of which could interpret the rules as they see fit.
While it supports efforts to secure more rights and benefits for its drivers, Uber also values maintaining their independence, according to the company. Uber is "concerned the Commission's proposal would have the opposite effect-putting thousands of jobs at risk," said a company spokesperson.
The Commission's directive comes as part of a broader push across the continent and the globe to secure rights for app-based employees and reign in tech companies.
In February, the U.K.'s Supreme Court upheld a ruling that would confer employment status on Uber drivers, entitling them to some of the same privileges stipulated under the new legislation.
Meanwhile, antitrust directives, regulations on content moderation, and restrictions on AI aimed at big tech companies are advancing apace in Europe, the U.S., the U.K., Australia, Canada, and elsewhere.
George Maier, a digital technology specialist at the London School of Economics, told the Guardian that companies will have to adapt to stay in the shifting market. "For a lot of these platforms, because they are realizing their model is not profitable, there is a big question over what change they can do and what change they can't do," he said.
"We have seen some evidence of platforms trying to get around the tightening grip of legislation by changing their business model. The alternative is to pull out of a country where they don't see a profitable future."
- 1.https://www.cnbc.com/2021/12/09/uber-deliveroo-and-gig-economy-face-strict-new-rules-in-europe.html
- 2.https://www.bloomberg.com/news/articles/2021-12-01/delivery-ride-hail-firms-fight-eu-to-plan-for-gig-workers
- 3.https://www.nytimes.com/2021/12/09/technology/european-commission-gig-workers-uber.html
- 4.https://www.reuters.com/technology/view-companies-divided-draft-eu-rules-gig-economy-workers-2021-12-09/
- 5.https://www.wsj.com/articles/uber-amazon-backed-deliveroo-workers-would-be-classed-as-employees-under-eu-proposal-11639044561?page=1
- 6.https://www.theguardian.com/business/2021/dec/09/gig-economy-workers-to-get-employee-rights-under-eu-proposals