The EU is calling for employees of Uber and other digital platforms

unveiled on Thursday (12/08/21) a package of regulations aimed at improving the conditions of people employed through digital labor platforms. This term is used to define internet companies that act as an intermediary between the principal, i.e. the client, and the person providing the service. Work can be done physically, such as shipping, courier or delivery services, or online, such as translations.

Currently, more than 500 digital platforms are actively operating, including both international corporations and Uber providing transport and delivery services, as well as smaller local companies offering, for example, custom care services. 28 million people work in the EU through them, and by 2025 their number is expected to increase to 43 million. The revenues of companies in recent years have increased almost fivefold, from EUR 3 billion in 2014 to over EUR 14 billion in 2020. Officials admit that working via platforms brings some benefits, because it may involve greater flexibility or allow for obtaining various benefits. sources of income, however, it is also associated with risk, because employees usually do not enjoy the privileges enjoyed by full-fledged employees. The sector’s weaknesses were painfully exposed when people were made redundant overnight, without the right to apply for social assistance and without the right to healthcare. That is about to change now.

Holiday entitlement

According to the EC data, 5.5 million people employed via platforms are mistakenly considered to be self-employed, while they do not have any traditional employment relationship with the employer. The Commission wants to define the professional status of platform employees. It is to be determined on the basis of the duties actually performed by the employee, and not on the basis of the provisions contained in the contract with him. It is no longer enough for the platform to indicate in the contract that it subcontracts only single tasks. If it turns out that it meets at least two of the list of criteria prepared by the Commission (e.g. determines the range in advance, controls the performance of tasks, limits holidays, or imposes dress codes or prohibits the provision of services to third parties), then it will be considered a full-fledged the employer.

– We have defined clear criteria to determine whether a given platform is an employer. If it is, then its employees enjoy specific social protection and employment rights, said EU Labor Commissioner Nicolas Schmit.

In such a situation, the platform will be obliged to guarantee employees the employment and social rights to which they are entitled, including the minimum wage (if in accordance with national law), health insurance, the right to determine working time, unpaid, benefits, including sickness or unemployment benefits. , discharging old-age and disability pension contributions and the right to associate in trade unions. The platforms will have the right to challenge this decision with the burden of proving that there is no employment relationship with them. The Commission reassures that clear criteria will bring more legal certainty to platforms and facilitate their business planning. EU officials are already predicting that some internet companies may change their employment policies to only work with self-employed workers.

Disenchant the algorithms

The new rules will also oblige digital platforms to be more transparent about the use of algorithms for work management. Companies use digital tools to assign tasks to employees and even to set a bid for a given assignment. Algorithms are also used to control employee behavior, for example, during a pandemic, drivers were required to prove through the application that they were wearing a mask before they were allowed to work; Based on the employee’s reaction, the system may also decide not to receive the order. Platform employees often complain that they do not understand the principles of operation of algorithms, which is why their services are often not properly priced. If necessary, employees should also be able to challenge decisions made by the system that affect their working conditions. Companies will also have to ensure that people have ultimate control over working conditions and automated decisions.

The Commission also wants national authorities to supervise employment. Today, however, officials often have a problem with accessing data about people employed by the platform and cannot verify their working conditions. The situation becomes even more complicated if a given company operates in several Member States and employs employees from different countries. Under the new regulations, platforms would provide national authorities with information about who they employ.

The rules proposed by the Commission have to be formally approved by the Council and the European Parliament. The latter repeatedly appealed to the European Commission to prepare appropriate regulations; their support for the plans of the European Commission was already expressed on Thursday by, inter alia, EPP and the Greens. After the provisions enter into force, Member States will have two years to implement them into national law.