Uber CEO Dara Khosrowshahi speaks at a product launch occasion in San Francisco, California on September 26, 2019.

Philip Pacheco | AFP through Getty Photographs

LONDON — Uber known as on the European Union to introduce a framework for gig economic system employees, floating a mannequin much like that adopted by California after a contentious fight over the employment standing of its drivers.

The U.S. ride-hailing big shared a “white paper” with EU competitors chief Margrethe Vestager, jobs commissioner Nicolas Schmit and different officers. It urged policymakers to implement reforms that shield drivers and couriers working by way of an app, with out reclassifying them as workers.

It is a thorny situation for Uber and different firms within the so-called gig economic system that encourage momentary, versatile working fashions in favor of full-time employment. Final 12 months, Uber, Lyft and different corporations efficiently fought in opposition to proposals in California which might have given their drivers the standing of workers relatively than impartial contractors.

Californian voters approved Proposition 22, a measure that will enable drivers for app-based transportation and supply firms to be categorised as impartial contractors whereas nonetheless entitling them to new advantages like minimal earnings and car insurance coverage.

“We’re calling on policymakers, different platforms and social representatives to maneuver shortly to construct a framework for versatile incomes alternatives, with industry-wide requirements that every one platform firms should present for impartial employees,” Uber CEO Dara Khosrowshahi stated in a weblog submit Monday. 

“This might embrace introducing new legal guidelines such because the laws not too long ago enacted in California,” he added.

Uber stated the EU may alternatively set new ideas by way of a “European mannequin of social dialogue” between platform employees, coverage makers and {industry} representatives.

‘Third means’

Uber has warned that, by treating its drivers as workers, authorities would give the agency no selection however to extend prices — and that these prices could be handed right down to clients.

Uber envisions a “third way” for gig economic system employment standing that gives drivers some protections whereas nonetheless permitting them flexibility of contract work. Within the U.S., the agency advised advantages funds that can be utilized by employees for issues like medical insurance and paid break day.

The corporate’s European white paper calls for brand spanking new guidelines that embody an “industry-wide stage taking part in subject” and units a “constant earnings baseline” for employees throughout totally different platforms.

The transfer comes forward of a evaluation from the European Fee on Feb. 24, which goals to put the groundwork for regulation of gig economic system platforms.

It additionally arrives at a time when meals supply is booming whereas taxi-hailing companies have been severely impacted by coronavirus lockdowns in Europe. Corporations like Uber and Deliveroo faced criticism for failing to offer drivers with a security web in the course of the pandemic.

In the meantime, drivers are making calls for of their very own on Uber’s enterprise practices throughout Europe. Within the U.Okay., the Supreme Courtroom is about to ship a ruling on whether or not Uber’s drivers needs to be categorised as employees entitled to protections like a minimal wage and vacation pay. Elsewhere, Uber drivers within the Netherlands are demanding the corporate reveals how its algorithms handle their work.

It is not the primary time Uber has confronted scrutiny in Europe. In 2017, the European Courtroom of Justice dealt Uber a serious setback by ruling it was a transportation agency relatively than a digital firm, paving the best way for stricter regulation of the agency. And London twice banned the app from working within the U.Okay. capital over security issues. Uber was issued a temporary London license in September.

Source link