Wednesday, January 19

The ‘Rider Law’ extends to all of Europe: the European Commission wants to regularize with its new regulations up to 4.1 million false self-employed


The debate of the distributors and their definition as false self-employed reaches the European Commission. While in Spain that matter was already settled with the resolution of the Supreme Court and the approval of the so-called ‘Rider Law’, now it is Europe that poses a similar position Regarding the distributors of digital platforms such as Uber, Glovo or Deliveroo, who have recently left our country.

Brussels has presented today a series of measures with which we want to regulate the situation of the workers of the different platforms in Europe. A future European regulation that includes several of the aspects that in Spain were already introduced with the ‘Rider Law’, from the recognition of the existing employment relationship to new demands regarding the use of algorithms.

An ambitious regulation that must obtain support

According to calculations by the European Commission, there are some 5.5 million workers who are not well classified. Among them, with the new regulations they propose, they foresee that between 1.7 and 4.1 million would be considered employed. In other words, up to 4.1 million false self-employed persons would emerge.

These are the data they handle for this year, but the Commission expects that in 2025 the data will multiply, going from the current 28 million workers to 43 million.

Rider

The growth of the sector has gone from 3,000 million euros in 2016 to more than 14,000 million euros for the European economy. Due to the growing importance of the so-called “digital economy” sector, the Commission wants to create stricter regulations that clarify the labor relations between these companies and their workers.

The fight to bring your pizza home is a war of multinationals

The debate is not going to be easy. Before being applied, the regulations must get the support of different countries and be approved by the European Parliament and by the Council. This is where the affected companies will be able to exert pressure to modify the proposal.

The future Directive “provides a list of control criteria to determine if the platform is an “employer”. If the platform meets at least two of these criteria, it is presumed, from a legal point of view, that it is an employer. “And therefore workers will have guaranteed rights such as minimum wage, collective bargaining, vacations and other rights associated with employed workers.

Another aspect of this new regulation is algorithmic management. The European Commission wants to increase the transparency and traceability of the algorithms and will require reporting on how they work.

More information | European Comission



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