Uber Drivers Must Be Treated as Employees in the Netherlands, Court Rules
September 13 2021 - 8:25AM
Dow Jones News
By Mauro Orru
Uber Technologies Inc.'s legal relationship with its drivers
meets all the criteria of an employment contract, a Dutch court
ruled Monday in the latest development in the global debate over
how gig-economy companies should treat their workers.
The Amsterdam District Court said its decision means the
ride-hailing platform is obliged to class its drivers under the
country's collective labor agreement for taxi transportation, which
enshrines more rights in the event of dismissal or illness.
The decision also means Uber drivers will be entitled to higher
pay, according to labor union FNV, which brought the case against
Uber last year, citing concerns over drivers' wages and rights.
"Real self-employed workers can determine their own rate and
determine how they carry out their work. This is not the case with
drivers who drive for Uber," said FNV Vice President Zakaria
Boufangacha, adding that Uber determines its drivers' hourly
rates.
Uber plans to appeal the ruling, a company spokesperson said.
"Nothing will change for drivers who use the app," they said. Uber
doesn't have plans to employ drivers in the Netherlands, the
spokesperson said.
The ruling allows some drivers to retroactively claim wages.
Uber was also ordered to pay 50,000 euros ($59,053) in compensation
to the union for failing to comply with the labor agreement.
Earlier this year, the company said it would grant its U.K.
drivers an employment status entitling them to vacation pay and
pension contributions after the Supreme Court ruled that a group of
former Uber drivers were entitled to certain employment rights.
Write to Mauro Orru at mauro.orru@wsj.com; @MauroOrru94
(END) Dow Jones Newswires
September 13, 2021 08:10 ET (12:10 GMT)
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