Uber ruling could have wider consequences for gig economy - Thursfields

A top employment lawyer at Thursfields Solicitors has responded to a ruling by the UK Supreme Court that Uber drivers must be treated as workers rather than as self-employed.

The decision means thousands of Uber drivers are set to be entitled to the minimum wage and holiday pay, leaving the ride-hailing app facing a hefty compensation bill.

Jade Linton (pictured), a HR business partner and associate director in the Employment department at Thursfields, explained that the ruling came after a long-running legal battle, where Uber had appealed to the Supreme Court after losing three earlier rounds.

Mrs Linton said: “This final decision is worthy of discussion and debate but there are two important take-aways from this case for employers, especially those in the so-called gig economy.

“The first is that in the event of a dispute over the status of an individual, for example whether someone is a worker, self-employed or an employee; the tribunal will always assess the reality of the situation and not simply what the documentation says.

“Secondly, this decision highlights the distinction between being 'available ' for work and 'performing ' the contracted task.

“In this case, the drivers were found to have been 'workers ' from the moment they had switched on the Uber app, as this demonstrated their 'availability ' to work even if a fare had not yet been collected at this time. ”

Uber is being challenged by its drivers in multiple countries over whether they should be classed as workers or self-employed.

The company itself has said that the UK ruling centred on a small number of drivers and it had since made changes to its business, but Mrs Linton said it could have wider consequences for the gig economy.

She added: “As always, tribunal findings are made on a case-by-case basis, but legal precedents do have an accumulative value, and this sort of ruling will have far reaching and hard felt consequences for the gig economy. ”

Anyone in need of HR or employment law advice can contact Mrs Linton by emailing [email protected] or calling 0121 796 4024.