Self-employed, worker, employee, the status of individual’s and their respective rights, has often been a cause for confusion and debate, whether considering the appropriate procedures to follow or if companies are liable for income tax and national insurance contributions.
The recent case considered within the London Employment Tribunal put forward by two Uber drivers, argued that due to the levels of control maintained by Uber, drivers are not self-employed but ‘workers’.
The drivers have won this round, with the result being dubbed by GMB Union as a “monumental victory” and are delighted that individual’s working within the ‘gig economy’ will have an opportunity to receive protection of their rights in relation to holiday pay, rest breaks and national minimum wage.
As workers, these individuals will not though gain other rights including:
- the right to claim unfair dismissal
- the right to statutory redundancy payments
- the protection of TUPE, should Uber decide to sell its business
Given the additional costs which Uber will face, it will be interesting to see if this will fall to the customer to pick up the bill. In the meantime, Uber have confirmed that they will appeal the decision so the story isn’t over just yet, watch this space.