Why Uber is an employer

Why Uber is an employer

Nah, there’s nothing going on here. Our people would love to do it themselves! They value the freedom and independence they have as a self-employed person. So what’s the problem?

Unions and judges may see a problem in the self-employed drivers of taxi app Uber or the self-employed bicycle couriers of meal delivery company Deliveroo, but those companies themselves do not understand this. In fact, if you listen to Uber and Deliveroo’s defense every time their business model comes under attack, you’d almost think the self-employment scheme is a brilliant way to cater to the needs of their drivers and couriers. And not a great way to earn money from staff without bearing the burden as an employer.

Uber sang the same song again this week. On Monday, the Amsterdam court ruled that Uber’s drivers are not self-employed but employees of the company. Uber would therefore have to hire the four thousand Dutch drivers who work via the taxi app and pay for taxi transport according to the collective labor agreement. Immediately. But on Thursday, the company said it would not hire the drivers for the time being. First, the company wants to understand the verdict. “In the interest of the drivers,” Uber will appeal. Because: “Drivers do not want to give up the freedom to choose whether, where and when and with whom they work.”

You would say: verdict passed, case solved. But unfortunately

Judges in Europe have repeatedly punctured this reasoning. For example, the Court of Appeal in Amsterdam asked itself in February: if it is true that Deliveroo deliverers prefer to work as a freelancer, why does Deliveroo not give the choice to work as an employee? Eeehhh. The judgment dryly notes that Deliveroo did not have a satisfactory answer. Outcome of that appeal: the couriers are employees and should be treated as such.

What the couriers and the drivers themselves want does not matter in those court decisions. Yes, there are people who want to work under the terms of Uber and Deliveroo, but that doesn’t change the requirement that the work must comply with the law. It is crucial in this regard whether there is a relationship of authority between Uber and the drivers, the judges write. How free is someone to fill in the work as they see fit? That is the difference between self-employed and employees. Well, Uber limits that freedom quite a bit. The company unilaterally determines the conditions under which the drivers work and regularly changes them without drivers having a say. Uber sets the rates, the knowledge about customers belongs to Uber.

The court vigorously punctured Uber’s defense: the company does not merely mediate between people looking for a taxi and drivers, Uber is an employer. That’s not a unique ruling – it’s in line with judges’ rulings on these types of ‘platform companies’ in various countries.

You would say: verdict passed, case solved. But unfortunately. The government is not currently enforcing the law, if at all. That is cringe-inducing, not to say a disgrace. Because smart tricks to have the lusts of staff, but not the burdens, are harmful in various ways. They undermine the competitor who does follow the law. They undermine the social system in which contributions are paid for and by employees. They leave employees unprotected. And they disrupt the job market.

Marike Stellinga is an economist and political reporter. She writes about politics and economics here every week.

Why Uber is an employer
Source link Why Uber is an employer

Internet Explorer Channel Network
News Related

OTHER NEWS

Route Standalone September 2021 Net Sales at Rs 85.65 crore, down 8.21% Y-o-Y

Reported Standalone quarterly numbers for Route Mobile Ltd are: Net Sales at Rs 85.65 crore in September 2021 down 8.21% from Rs. 93.31 crore in September 2020. Quarterly Net Profit ... Read more »

Embassy REIT raises Rs 4,600 crore fresh debt to repay existing borrowings

Representative Image (Source: ShutterStock) Embassy Office Parks REIT, the country’s first listed REIT, on October 18, said it has raised Rs 4,600 crore debt at a low-interest rate of 6.5 ... Read more »

Hathway Bhawani Standalone September 2021 Net Sales at Rs 0.99 crore, down 10.44% Y-o-Y

Reported Standalone quarterly numbers for Hathway Bhawani Cabletel And Datacom are: Net Sales at Rs 0.99 crore in September 2021 down 10.44% from Rs. 1.10 crore in September 2020. Quarterly ... Read more »

Route Consolidated September 2021 Net Sales at Rs 435.67 crore, up 24.74% Y-o-Y

Reported Consolidated quarterly numbers for Route Mobile Ltd are: Net Sales at Rs 435.67 crore in September 2021 up 24.74% from Rs. 349.28 crore in September 2020. Quarterly Net Profit ... Read more »

Tanfac Ind Standalone September 2021 Net Sales at Rs 72.53 crore, up 111.52% Y-o-Y

Reported Standalone quarterly numbers for Tanfac Industries are: Net Sales at Rs 72.53 crore in September 2021 up 111.52% from Rs. 34.29 crore in September 2020. Quarterly Net Profit at ... Read more »

Sangam India Standalone September 2021 Net Sales at Rs 634.92 crore, up 104.25% Y-o-Y

Reported Standalone quarterly numbers for Sangam (India) are: Net Sales at Rs 634.92 crore in September 2021 up 104.25% from Rs. 310.85 crore in September 2020. Quarterly Net Profit at ... Read more »

Hathway Bhawani Consolidated September 2021 Net Sales at Rs 0.99 crore, down 10.44% Y-o-Y

Reported Consolidated quarterly numbers for Hathway Bhawani Cabletel And Datacom are: Net Sales at Rs 0.99 crore in September 2021 down 10.44% from Rs. 1.10 crore in September 2020. Quarterly ... Read more »

Chandra Prabhu Standalone September 2021 Net Sales at Rs 118.97 crore, up 234.57% Y-o-Y

Reported Standalone quarterly numbers for Chandra Prabhu International are: Net Sales at Rs 118.97 crore in September 2021 up 234.57% from Rs. 35.56 crore in September 2020. Quarterly Net Profit ... Read more »

UltraTechCement Standalone September 2021 Net Sales at Rs 11,548.37 crore, up 15.27% Y-o-Y

Reported Standalone quarterly numbers for UltraTech Cement are: Net Sales at Rs 11,548.37 crore in September 2021 up 15.27% from Rs. 10,018.58 crore in September 2020. Quarterly Net Profit at ... Read more »

SVP Global Consolidated September 2021 Net Sales at Rs 405.74 crore, up 11.24% Y-o-Y

Reported Consolidated quarterly numbers for SVP Global Ventures are: Net Sales at Rs 405.74 crore in September 2021 up 11.24% from Rs. 364.73 crore in September 2020. Quarterly Net Profit ... Read more »

UltraTechCement Consolidated September 2021 Net Sales at Rs 12,016.78 crore, up 16.06% Y-o-Y

Reported Consolidated quarterly numbers for UltraTech Cement are: Net Sales at Rs 12,016.78 crore in September 2021 up 16.06% from Rs. 10,354.21 crore in September 2020. Quarterly Net Profit at ... Read more »

Cash going to co-exist with central bank digital currency, says former RBI governor Subbarao

Representative Image Former RBI governor D Subbarao on Monday said there is a strong motivation for the central bank to launch a digital currency and cash is going to coexist ... Read more »

ECB to test banks' resistance to climate risks next year

Image: Reuters The European Central Bank said Monday it would carry out “climate stress tests” on banks between March and July next year to assess the resilience of the eurozone’s ... Read more »

Goto Energy becomes thirteenth supplier to collapse as gas prices surge

The company's customers will be transferred to another supplier and funds they have paid into their energy accounts will be protected. Read more »

RBI remains net purchaser of US dollar in August

Reserve Bank of India (RBI) remained a net buyer of the US currency in August after it net purchased $3.747 billion from the spot market. In the reporting month, RBI ... Read more »

CCI approves acquisition of Hinduja Global Solutions' healthcare BPO services by Betaine BV

Representative image Fair trade regulator CCI on Monday approved the acquisition of worldwide healthcare BPO services of Hinduja Global Solutions Ltd by Betaine B.V. The transaction will involve the acquisition ... Read more »

Walmart-backed robotics group Symbotic in $4.5bn talks to merge with SoftBank SPAC

A supplier of robots to Walmart distribution centres is in talks to merge with a SoftBank-sponsored special purpose acquisition company that would value it at about $4.5bn, Sky News learns. Read more »

Russian economy's volume above pre-crisis level, PM says

It was reported that gross domestic product moved up by 4.7% over eight months of this year Read more »

European gas consumers didn't ask Novatek to increase supplies

At the moment, about 80% of the company's supplies on the spot market go to the Asia-Pacific countries, while Europe's portion is insignificant Read more »

SBI raises Rs 6,000 crore by issuing Basel III compliant bonds

The country’s largest lender SBI on Monday said it has raised Rs 6,000 crore by issuing Basel III compliant bonds. In June, the bank had received approval from its central ... Read more »

Power squeeze curbs Chinese growth, leaves Europe in a gas bind

China’s power shortages hit growth in the world’s second-biggest economy, threatening more pain for <a href="/tag/global-supply-chains”>global supply chains, while Europe‘s gas squeeze looked set to continue as Russia’s Gazprom showed ... Read more »

Mumbai least happy city in the world to buy a house; Chandigarh among the happiest places: Survey

Mumbai is the most expensive city in India to buy property. Mumbai may be the most expensive city in India to buy property but it is also the least happy ... Read more »

Russia, Guinea-Bissau to exchange business missions — Lavrov

The topics refer to cooperation in such spheres as natural resources tapping, infrastructure development, agriculture and fisheries Read more »

Putin orders to consider regular transit transportation over Northern Sea Route from 2022

The most important aspects to consider are the development of the port infrastructure, support of navigation safety and cost efficiency of transportation, and the need to support such traffic all over the year Read more »

Volvo sets IPO for October 28, valuing it up to $23 billion

Swedish car brand Volvo said Monday it was planning its Stockholm stock exchange debut on October 28, targeting a market value of up to 200 billion kronor ($23.1 billion, 19.9 ... Read more »

A Balasubramanian appointed AMFI chairman, Radhika Gupta vice chair

File image of A Balasubramanian A Balasubramanian, the managing director and chief executive officer of Aditya Birla Sunlife Mutual Funds, has been appointed as the chairman of the Association of Mutual ... Read more »

Interest rate drumbeat grows louder as BoE governor warns it may 'have to act' over inflation

Markets now think there is a 90% chance that the Bank rate will be increased from 0.1% to 0.25% at the monetary policy committee's next meeting next month. Read more »

Tata Coffee Q2 net up 26.55% to Rs 53.66 crore

Tata Coffee on Monday reported a 26.55 per cent growth in consolidated net profit during the September quarter at Rs 53.66 crore. The company’s consolidated net profit during the corresponding ... Read more »

Byju's leases office space in Mumbai for Rs 13.9 lakh per month for five years

Earlier this month, Byju’s had raised Rs 2,200 crore or about $300 million from investors, valuing it at about $18 billion. (Image: Shutterstock) Online education firm Byju’s has leased an ... Read more »

Sebi official asks investors not to carry away by unrealistic gains stories

Source: ShutterStock Investors should observe maximum due diligence while investing in stock market and should not be carried away by the stories of unrealistic gains being made by others, Sebi ... Read more »

Ian King Business Podcast: Ford electric boost, food waste reduction, and 'buy now, pay later'

Listen to “Electric boost, food waste, and 'buy now pay later'”. Ford announces a £230m boost to their factory in Merseyside. Stuart Rowley, president of Ford of Europe maps out the ... Read more »

India presses Qatar for delayed LNG as power crisis mounts

Reuters India, grappling with its worst power crisis in five years, has asked Qatar to expedite delivery of 58 delayed liquefied natural gas (LNG) cargoes, two sources familiar with the ... Read more »

Rakesh Jhunjhunwala exits MCX, trims stakes in three other portfolio holdings

Ace investor Rakesh Jhunjhunwala has parted ways with the Multi Commodity Exchange of India (MCX), apart from trimming his stakes in three other portfolio holdings. Fresh shareholding data, for the quarter ... Read more »

Edelweiss divests stake in insurance brokerage arm to Arthur Gallagher

Edelweiss Financial Services on Monday said its insurance brokerage arm EGIBL has ceased to be its subsidiary post transfer of majority stake to Arthur J Gallagher & Co. In July ... Read more »

Route Mobile Q2 profit rises 28% to Rs 42 crore; revenue up 25% to Rs 438.11 crore

Enterprise communication services firm Route Mobile on Monday posted around 28 per cent increase in its consolidated net profit to Rs 42 crore in the second quarter ended on September ... Read more »

Volvo seeks up to US$23 billion valuation in one of Europe's biggest IPOs this year

Volvo Cars said this month it planned to raise US$2.9 billion through an IPO and list its shares on the Nasdaq Stockholm stock exchange. STOCKHOLM (REUTERS) – Geely-owned Volvo Cars ... Read more »

China's economy weakens as GDP in Q3 declines to 4.9 per cent

China’s GDP grew by 4.9 per cent in the third quarter, down from 7.9 per cent in the second, confirming the slowdown of the world’s second-largest economy which was under ... Read more »

Stocks open broadly lower as Wall Street's momentum slows

Source: Reuters Stocks are opening lower on Wall Street Monday as the market’s momentum slows following its best week since July. The S&P 500 index fell 0.5% in the first ... Read more »