The gig economy has a pivotal role in the new digitalization era where it is an unrestricted market where enterprises used technologies as their platform to market their business and services to be used, sell, and buy their market goods. It is considered a new platform for business proprietors to enhance their value in the commercial markets. Young entrepreneurs especially, create their business platforms in the form of database platform such as Uber and Deliveroo that provides passengers transportation and delivering food services, VRBO and Airbnb that provides lodgings services for clients worldwide. This article will be focusing on the legal concerns regarding employment rights upon these enterprises.
The current Gig Economy offers a great deal of efficiency and contentment for the consumers. Conversely, it generates several legal challenges of the employment rights and the safeness of both customer and the workers itself. The Uber subject matter would elaborate this point clearly. Firstly, it creates unfair business trade opportunities and regulations for the same goods and services. And secondly, the injustice treatment of the workers’ rights where they are not to be considered as an employee of the company.
Unfair business trade opportunities and regulations for the same goods and services
Uber is fast becoming a key instrument in the use of transportation and deliveries nowadays, hence, it creates unfair legal prospects whereas normal taxi for example in the United Kingdom, could obtain their license to drive after one year of learning and passing the assessments that are compulsory under the Metropolitan Public Carriage Act 1869. On the other hand, Employments through Uber drivers would not have to get this class of licensing as long as they hired under the Uber Enterprise by following the legal jurisdiction of The Private Hire Vehicles (London) Act 1998. Because of these unfair prospects, there had been strikes created by the black taxi drivers on 16 January 2018 in London. The strike is about the protest upon Uber drivers that could immediately drive customers with a lesser amount of fees and had impacted on their commercial economic markets. According to Telegraph London, The Private Hire Vehicles (PHC) will amend their current legislation and settle the outgoing cases with Uber enterprises. These gig economy technologies had arisen turmoil’s into the legislative matter in every state especially London at this point. At present, with all of the supporting pieces of evidence, The Transport of London (TFL) had discontinued Uber’s license to drive in the premises.
The injustice treatment of the workers’ rights
This matter gives rise to the Aslam, Farrar and Others v Uber Britannia Ltd 2202550/2015 & others case, Where the defendant, Uber, Argued that the drivers of Uber enterprises were not employees of the company. They were only considered as a self-employed person and can be considered as customers in this technological gig economy business. As a Result, the drives could not get the same treatment under the Employment Rights Act 1996 where. These drivers did not attain any holiday leaves, received underpaid wage with less amount of break time. However, after reassessing the contract agreements between the drivers and Uber Enterprise, The judge concluded that the drivers are entitled to a specific employment legislative security. Uber Enterprises had appeal this case but it was dismissed by the judge. Furthermore, related to this case, on 22 September 2017 by the reason lack of corporate responsibility, The Transport for London (TFL) which is state’s legal entity, discontinued Uber’s license to operate private hire vehicles (PHV). Yet Uber’s appeal under section 3(7) and section 25 of the Private Hire Vehicles (London) Act 1998 failed because as was stated above, will lead to unfair business events for the local black London taxies that had to obtain one year licensee in order to an eligible taxi driver in London and the deceptive operating model of the Uber application. The Court was satisfied with this marks otherwise it will impact the labor rights in the UK.
The outgrowing technology in these gig economy has to be examined strictly so there will be no legal irregularities. The gig economy for sure it is for the better use of the Global economic growth of the potential market and keeps having a dynamic environment of new inventions. However, it should be noted that the law has to keep guarding the community with an efficient rule of law. At present, this technological advancement could be the downfall towards the statutory where it is more favorable towards the gig enterprises. By seeing the Argument above, it is foreseeable to see that the merits of such cases was determined by the judge verdict upon the status of their employment and the rights taken from the act. Advancement can diminished the welfare of other people and its rights as a law citizen.
Samuel Seow Law Corporation
The Art of Law
Media and Entertainment Law