BRUSSELS (Reuters) – The European Commission introduced on Thursday draft rules to present workers at online platform firms reminiscent of Uber and Deliveroo higher social rights, however which firms say might result in job losses and extra litigation in court docket.
The proposal, a world first that must be thrashed out with EU international locations and EU lawmakers earlier than it might turn into regulation, marks the most recent try by the European Union to manage tech firms and guarantee a stage enjoying discipline.
Online platform firms that set pay and requirements of conduct for their workers should classify them as staff entitled to a minimal wage, paid holidays and pension rights, in keeping with the draft rules.
The firms may also be thought-about an employer in the event that they supervise the efficiency of labor by digital means, limit workers’ potential to decide on their working hours or duties, and forestall them from working for third events.
The rules may also require ride-hailing, meals supply apps and different firms to be extra clear on how they use algorithms to watch and consider workers and to set duties and costs. Employees can ask for compensation for breaches.
The EU govt stated the draft rules might apply to between 1.7 million and 4.1 million workers from the 28 million working at greater than 500 online platform firms throughout the 27-country bloc.
“Genuine self-employed on platforms will likely be protected by enhanced authorized certainty on their standing and there’ll be new safeguards towards the pitfalls of algorithmic administration. This is a crucial step in the direction of a extra social digital economic system,” the EU’s digital chief Margrethe Vestager stated in an announcement.
(Reporting by Foo Yun Chee; modifying by Philip Blenkinsop)
