Uber's thinking on UK driver rights has evolved and worker flexibility “should not come at the expense of social protections”

Dara Khosrowshahi / London Evening Standard :

London Evening Standard 2021-03-17 Dara Khosrowshahi

Context & Ripple Effects

Uber had previously defended the contractor model while proposing benefit funds, then said ahead of EU recommendations that it was prepared to improve protections but needed legislation. Its UK position now narrows the gap between flexibility and protections after the UK tribunal ruling on driver employment status.

The statement also fits Uber's earlier call for legislation to support gig-worker protections, making the UK a concrete test of whether the company can preserve its worker model while accepting greater safeguards.

First-order effects

Uber publicly commits to treating social protections as a condition of UK driver flexibility, shifting its messaging away from a contractor-only defense.
UK drivers gain a clearer basis for pressing Uber on protections, although the statement specifies no particular benefit or employment-status change.

Second-order effects

Uber's position increases pressure on other platform employers to explain how their own worker models provide protections without abandoning flexibility.
The stance is consistent with the later reported plan to recognize a union for 70,000 UK drivers, which would give drivers a channel to bargain within Uber's worker model.

Third-order effects

If platforms pair flexible work with negotiated or legislated protections, the competitive distinction may shift from worker classification alone to the benefits and bargaining rights attached to it.
The UK coverage points toward a hybrid platform-labor model in which contractor-style flexibility is increasingly constrained by social protections and collective representation.

The trend: Platform companies are moving from defending contractor status in isolation toward hybrid labor models that combine flexibility with formal protections and worker voice.

Discussion

@garius John Bull on x
Before everyone starts getting excited: 1) Uber didn't reclassify its drivers as workers, the COURTS did. Uber is just doing the paperwork 2) Drivers already earn more than the minimum wage 3) They're still refusing to count idle time as work So what's it mean? /1 https://twitter…
@itvjoel Joel Hills on x
In an exclusive with the BBC, Uber reveals that it from tomorrow (and after losing in the Supreme Court last month) it will treat its workers like workers. Interestingly, it does not plan to charge passengers VAT. That contingent liability keeps growing...https://www.bbc.co.uk/ .…
@wesstreeting Wes Streeting MP on x
About time. I'm proud of the campaigning many of us have done on this over many years when people said this couldn't and shouldn't happen. The impact of technology should be life-enhancing for workers and customers. Let's make the technological revolution work for everybody. http…
@jtemperton James Temperton on x
Uber didn't “struggle to identify solutions” or decide to “turn the page”. It spent years fighting tooth and nail to deny drivers basic rights enshrined in law. It's only doing this because the Supreme Court left it no choice. Bold, tedious spin by @dkhos https://www.standard.co.…
@tomwarren Tom Warren on x
good, but Uber was forced into doing the right thing https://twitter.com/...
@kateconger O...K on x
Uber CEO's take on the news: “I will be the first to admit that we've struggled to identify solutions that work for Uber and for those who earn on our platform.” https://www.standard.co.uk/...
@geoplace Mark Graham on x
Uber UK is committing to pay its drivers a guaranteed minimum wage, holiday pay and pensions! However, the Supreme Court has ruled that drivers should be paid for every second they are logged in, and Uber - so far - is still refusing to pay up. https://www.bbc.co.uk/...
@tony_burke Tony Burke on x
In Australia the PM says paying the minimum wage is “complicated”. In the UK it's now going to happen. https://twitter.com/...
@bigblackjacobin Edward Ongweso Jr on x
Some interesting tidbits in the PR they put out today like “This is a significant improvement in the standard of work for UK drivers. But I know many observers won't pat us on the back for taking this step, which comes after a five-year legal battle.” https://www.standard.co.uk/.…
@antoniocasilli Casilli on x
After spending $200+ millions to pass #prop22 so California Uber drivers continue to be classified as contractors, CEO Dara Khosrowshahi tries to buy himself a conscience by saying UK drives are workers. But only UK drivers, “and that's ok”. https://www.standard.co.uk/... https:/…
@northmantrader Sven Henrich on x
Wow. Paying people a living wage and benefits for work. What a radical concept and utopian accomplishment. https://twitter.com/...
@hyphy_republic Trash Night Heron on x
Yeah, struggled so hard you spent millions on a California ballot measure to screw them over. https://twitter.com/...
@prospect_clark Tom Clark on x
Quite a moment: Uber drivers to get minimum wage, holidays & pensions A heartening reminder that the political bodies & the court are not powerless in the gig economy https://www.google.co.uk/...
@theltda @theltda on x
Funny he makes it seem like it was his idea and not a Supreme Court decision which he fought all the way screaming and kicking! Uber boss Dara Khosrowshahi: 'We're turning the page on driver rights' | Evening Standard https://www.standard.co.uk/...
@sarahoconnor_ Sarah O'Connor on x
The devil's in the detail here. Looks like Uber is only offering min wage for the time that drivers are transporting a passenger; Supreme Court said it should be for the whole time they are logged in for work. https://www.bbc.co.uk/...
@jmandryk Joshua Mandryk on x
Literally cannot believe this guy has the gall to say “Some may ask: why, and why now?” and give an answer that isn't “we fought tooth and nail against it, but the UK Supreme Court is making us.” Uber's deceitfulness shows no bounds. https://www.standard.co.uk/...
@joshgerstein Josh Gerstein on x
Could be bigger than Amazon agreeing to pay sales tax. https://twitter.com/...
@veenadubal Veena Dubal on x
WHOA I think this is the first time in the Western Hemisphere that Uber has agreed to these things. We cannot cannot cannot give up or give in here in the US!!! https://twitter.com/...
@dee_bosa Deirdre Bosa on x
BREAKING: Uber changes course, grants all UK drivers worker status Keeps adjusted EBITDA profitability target by year-end. *note: workers get benefits but are not full employees @ltbatch @CNBC https://www.cnbc.com/...
@michalrozworski Michal Rozworski on x
This is a huge victory for Uber drivers but they face another battle to ensure that worker means “on the clock” not “doing a specific task”. Uber only paying drivers when they accept a ride is like a store only paying for interacting with customers https://www.wsj.com/...
@gregbensinger @gregbensinger on x
This will be an important test — according to Uber, Prop 22-style recognition and half-benefits are what drivers really want https://twitter.com/...
@judithfreedman Judith Freedman on x
Uber agrees to classify UK drivers as workers entitled to benefits | Financial Times But no comment on VAT and income tax not affected presumably. NMW agreed only for times when paired with customers. Not the end of the matter, I suspect. https://www.ft.com/...
@ryan_browne_ @ryan_browne_ on x
This is a big deal. Over 70,000 Uber drivers now entitled to minimum wage, holiday pay and pensions. Comes weeks after the UK Supreme Court ruling that Uber drivers should be given worker status. https://twitter.com/...
@parmy Parmy Olson on x
An important wrinkle in Uber's announcement about U.K. workers: it'll only pay them minimum wage AFTER they've accepted a passenger. Drivers wanted to be paid for a full day of work, including time spent idling. For some that's around half their shift. https://www.wsj.com/...?
@bigblackjacobin Edward Ongweso Jr on x
A big win and a huge first step for drivers in UK that'll hopefully follow in the EU and US https://twitter.com/...
@nathansnewman Nathan Newman on x
Big win for labor as Uber forced in UK to treat drivers as employees. But company is still trying to dodge paying drivers for time when they are waiting to get assigned a ride. https://www.wsj.com/...
@califriedcomrad CaliforniaFriedComrade on x
California gig workers looking at the UK like: https://www.cnbc.com/... https://twitter.com/...
@richardhanania Richard Hanania on x
Absolutely insane in the 21st century you can't just give someone a job through an app without having to pay for their vacations. https://www.wsj.com/...

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