Britain’s Supreme Court ruled on Friday that a group of Uber drivers are entitled to workers’ rights such as minimum wage, according to Reuters. The ruling is a blow to Uber and other ride-hailing services operating in the gig economy.
- In a case filed by two drivers, a London employment tribunal ruled in 2016 that drivers had entitlements such as paid holidays and rest breaks which Uber appealed.
- The dismissal of Uber’s appeal gives certain protections to vulnerable individuals with little or no influence over their pay and working conditions.
- Uber drivers are currently treated as self-employed, meaning that they are only entitled to minimum protections by law.
- The top court’s verdict did not apply to all of Uber’s current 60,000 drivers in Britain but focuses on those who used the company’s app in 2016.
- Uber respects the court’s decision and is committed to doing more and working with drivers across the U.K. to understand the changes they want.
- The gig economy has drawn criticism from unions who say it is exploitative, although businesses say it allows workers flexibility.
Uber stock is currently gaining. UBER: NYSE is down 2.08% on premarket.