What you should learn as an employer from UBER Drivers legal battle
Most of you have heard of Uber or used their service.
Recently, an Employment Tribunal ruled that two drivers who provide services to Uber are ‘workers’ within the meaning of the Employment Rights Act 1996.
What does this mean?
This means that the workers, amongst other rights, will be entitled to :-
- 5.6 weeks’ paid annual leave each year
- A maximum 48-hour average working week, and rest breaks
- The national minimum wage (and the national living wage)
- Protection of the whistleblowing legislation. The rights differ from those that employees receive. As they are not employees they will not be entitled to:
- The ability to claim unfair dismissal
- The right to a statutory redundancy payment
- The benefit of the implied term of trust and confidence
- The protection of TUPE, if Uber sells its business
As a business, what do you need to be aware of?
It is very likely that this decision will be appealed but for now:
1) Employers should be very careful when taking on contractors and should not assume that they are not workers.
2) If you are an employer and run a similar business to Uber, you may face claims from your “contractors” who allege they have worker status.
So, if you are concerned that your contractor may bring a claim against you or if you require advice on your current contracts speak to our specialist HR Solicitors NOW on 020 7903 6888 or email firstname.lastname@example.org
The material contained on this website contains general information only and does not constitute legal or other professional advice and should not be relied upon as such. While every care has been taken in the preparation of the information on this site, readers are advised to seek specific legal advice in relation to any decision or course of action.