Draft EU rules for contract workers targeting Uber, Deliveroo, online platforms

Uber Technologies logo is seen on a vehicle in Manhattan, New York City
FILE PHOTO: The logo of Uber Technologies is seen on a vehicle in Manhattan, New York City, New York, U.S., November 17, 2021. REUTERS/Andrew Kelly

December 9, 2021

BRUSSELS (Reuters) – The European Commission on Thursday published draft rules aimed at giving workers at online platform companies such as Uber and Deliveroo better social rights, but the companies The company said it could lead to job losses and more litigation in court.

The proposal, a global proposal that first needs to be approved by EU countries and EU lawmakers before it can become law, marks the latest attempt by the European Union to regulate companies. technology and ensure a level playing field.

Online platform companies that set pay and standards of conduct for their workers will have to classify them as employees with minimum wages, paid leave and pension rights, according to the draft rule. .

Companies will also be considered employers if they monitor work performance through electronic means, restricting workers’ ability to choose their working hours or duties and preventing them work for a third party.

The rules will also require ride-hailing, food delivery and other companies to be more transparent about how they use algorithms to monitor and evaluate workers and set tasks and fee. Employees can claim compensation for violations.

The EU executive said the draft rule could apply to between 1.7 million and 4.1 million workers from 28 million working at more than 500 online platform companies across the bloc of 27 countries.

“True self-trading across platforms will be protected through increased legal certainty of their status and there will be new safeguards against regulatory pitfalls by algorithm. This is an important step towards a more social digital economy,” EU Digital Director Margrethe Vestager said in a statement.

(Reported by Foo Yun Chee; edited by Philip Blenkinsop) Draft EU rules for contract workers targeting Uber, Deliveroo, online platforms

Bobby Allyn

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