Gig work platforms and worker classification was #3 in 2020 with the focus on the fight over California’s AB 5, eventually overturned by state voters. In 2021, most of the action was in Europe. The UK High Court ordered Uber to reclassify drivers as workers rather than independent contractors, and it followed up in December rejecting the model that ride contracts were between drivers and passengers. In the EU, Spain and Portugal adopted national legislation on ridesharing and delivery requiring platforms workers to be employees that went into effect mid-summer, while a Court of Appeals in the Netherlands ruled that Deliveroo couriers qualify as employees, and an Italian court ruled that Deliveroo’s reputation-ranking algorithm breached local labor law. The most significant action long-term is likely to stem from the European Commission’s draft legislation to update labor regulations for “Digital Labor Platforms” to address abuses from platforms for ridesharing and delivery while enabling platforms for skilled freelancers. Watch for concepts like “algorithmic control” and concerns with “bogus self-employment”. The exception to gridlock in the US was food delivery platform regulation in cities like New York and San Francisco.
Platform Economy Insights