Uber Sued Over Minimum Wage Claims
The union claims Uber drivers do not receive the national minimum wage and statutory entitlement to paid holiday.
Uber is facing even more legal action, this time from its drivers in the UK.
Those who believe the GMB is mainly concerned about the livelihood of Uber’s drivers may be puzzled to discover that just six weeks ago the union was calling for the startup’s taxi licence in London to be revoked over claims its vetting process was inadequate.
At the centre of case is Uber’s assertion that drivers are “partners” and as such are not entitled to rights normally afforded to employees.
Uber describes itself as a “pick-up” service that connects those needing a ride with a background-checked private driver, and takes a cut – typically 20% – of the fee.
Leigh Day’s lawyers also referenced reports of Uber drivers being suspended from working for the company for complaining of unlawful treatment, the BBC report added.
In the filing, GMB claims that “not only are there breaches of employment law but also that there are serious health and safety issues as now Uber does not ensure its drivers take rest breaks or work a maximum number of hours per week”.
“A successful legal action against Uber could see substantial payouts for drivers, including compensation for past failures by the company to make appropriate payments to who we argue are their workers”, said Leigh Day’s Nigel Mackay.
“One of the main reasons drivers use Uber is because they love being their own boss”, Uber spokeswoman Trina Smith told The Huffington Post in an email. The reality is that drivers use Uber on their own terms: “they control their use of the app”.
This meant they should be classed as “workers” rather than self-employed contractors, entitling them to basic rights such as the minimum wage and holiday pay but not the same protections as employees. The union also wants Uber to create a system in which drivers can contest complaints or accusations of inappropriate behavior that, until now, have led to suspension or account deactivation – effectively firing them. ‘As employees, drivers would drive set shifts, earn a fixed hourly wage, and lose the ability to drive elsewhere as the personal flexibility they most value.’.