This WILL hurt Uber…

This WILL hurt Uber…

Uber Logo

and it’s only a matter of time before other countries start to follow.

In a landmark case in the UK, Uber drivers are now considered employees.

User /u/atohitotsu from reddit has written up the reasons why they were considered to be employees.

  1. Uber has sole and absolute discretion to accept or decline bookings,
  2. Uber interviews and recruits drivers,
  3. Uber controls key information – passenger contact details and destination in particular. Drivers can’t access such information and don’t even know where they are going until the trip starts.
  4. Uber requires drivers to accept trips assigned to them,
  5. Uber sets the default route,
  6. Uber fixes the fare and drivers can’t negotiate a higher fare or other terms with passengers (as an independent contractor would be able to),
  7. Uber imposes fixed conditions such as the type of vehicle that drivers must use and how drivers do their work,
  8. Uber subjects drivers to performance management and disciplinary procedures,
  9. Uber determines issues such as rebates without involving the driver,
  10. The discontinued guaranteed earnings scheme (fixed pay being a characteristic of employees),
  11. Uber takes on risk of loss such as in the case of fraudulent passengers,
  12. Uber (not the drivers) handles complaints by passengers, including complaints about drivers,
  13. Uber can amend the drivers’ terms unilaterally,
  14. Forbidding drivers from contacting passengers after rides (someone running a business would normally be able to contact his clients),
  15. Using terms like “on-duty” and “off-duty” and referring to “our drivers” and “our vehicles”.

The full judgment is here. Time will tell if/when other countries and states start to follow and if/when Lyft is next.

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Walter Marrero 228 posts

An executive analyst at an elite technology & business focused publication.

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