Drivers take Uber to employment tribunal

With a rise in service apps like Uber and Bizzby you can now order taxis, food and even handymen straight to your door at the touch of a button. This has resulted in a growing trend for companies to use self-employed individuals rather than engaging employees and workers.

Last week saw Uber taken to the Central London Employment Tribunal by 19 taxi drivers claiming that their employment status was not that of a self employed individual but a worker; someone with more statutory employment rights.

Uber, a smartphone app which allows you to book and pay for a taxi, has grown considerably over the last six years and is currently operating in over 450 cities worldwide. In London alone there are around 30,000 drivers and over 2 million users. Each time you pay for a journey Uber receives the payment and a percentage is then passed onto the driver.

Over the last few years Uber has experienced many legal challenges and protests around the World both in respect of the way it operates and regarding the employment status of the individuals it engages. In the UK, Uber has previously fought with London's black cabs drivers to have the app ruled illegal, while in the US it has had lawsuits against employee rights, background checks and taxi laws.

The UK test case, which began on Wednesday, involves two drivers, James Farrar and Yaseen Aslam. Their lawyers claim that their working conditions entitle them to be classified as “workers” and therefore be entitled to the same statutory entitlements, such as the national minimum wage.

Jo Bertram, the regional general manager for Uber UK, said “The main reason people choose to partner with Uber is so they can become their own boss, pick their own hours and work completely flexibly. Many partner-drivers have left other lines of work and chosen to partner with Uber for this very reason.” Uber claims that it is a technology company and that it does not provide a transport service to customers, it just puts them in touch with drivers. They state the drivers work for themselves as self-employed and are ‘partners’ with Uber and therefore do not enjoy “worker” status. The drivers’ lawyer disputes this contention on the basis that Uber controls the service provided by the drivers.

The case is being backed by the GMB trade Union. Justin Bowden, national secretary of the union, told the BBC: "The issue here is not about taking away the flexibility… but the high degree of control that Uber exercises over their drivers. Uber drivers face very difficult working conditions and with cuts to fares we believe that some of our members are taking home less than the national minimum wage.’’

The GMB are also concerned over health and safety issues as Uber currently does not ensure its drivers take rest breaks or have a maximum number of hours per week that drivers can work. Mr Bowden comments “We are concerned that some drivers are working longer and longer hours in order to make ends meet and are unable to take any paid holiday. We believe that this could pose a safety risk to drivers and the public’’.

If the drivers are successful in this action, it could result in a floodgate scenario with others bringing the same or similar challenges. The Tribunals have four other claims listed at the end of this year against cycle courier companies again, where employment status is in dispute. The impact of these claims could have wider implications for employment law and possibly, peoples’ attitudes to using these services...