As Uber goes to court, drivers struggle to recoup lost income

Drivers are up to £18,000 ‘out of pocket’ despite being entitled to minimum wage

As Uber goes to court, drivers struggle to recoup lost income

As Uber challenges a UK court ruling on the employment status of its drivers, a new report is shedding light on how much income drivers have lost amid the legal battle.

GMB, the general union representing Uber drivers, estimates each worker has been losing at least £18,000 (approx. US$23,000) in unpaid remuneration over the past two years while Uber continues to question the decision of the courts.

Uber insists its drivers are “partners” who operate more similarly to gig economy workers or independent contractors, rather than employees.

In 2016, the Central London Employment Tribunal ruled Uber drivers held the status of workers who were entitled to minimum wage, holiday pay, and rest breaks.

The ride-hailing service contested the ruling at the Employment Appeal Tribunal but lost. On Tuesday, it appeared before the Court of Appeal seeking to overturn the decision.

“If drivers were classed as workers, they would inevitably lose some of the freedom and flexibility that come with being their own boss,” a representative from Uber said.

Uber’s refusal to accept the judgment has been taking a financial toll on drivers, according to GMB.

“While the company are wasting money losing appeal after appeal, their drivers are up to £18,000 out of pocket for the last two years alone,” said Sue Harris, GMB’s legal director.

“That’s thousands of drivers struggling to pay their rent, or feed their families,” Harris said. “It’s time Uber admits defeat and pays up.”

Leigh Day, the legal team representing drivers on behalf of GMB, calculated the two-year losses:

Holiday pay                                        £8,150
National Minimum Wage                10,750
                                                        _______
Total                                                   £18,900

“Uber should do the decent thing and give drivers the rights to which those courts have already said they are legally entitled,” said Harris.

 

Recent articles & video

Flexibility schedule for Clerks Award extended to June 2021

Toyota on track to return $18M+ in JobKeeper subsidy

Blue Monday: How to champion employee mental health

Tech firm Avanade introduces gender transition leave for employees

Most Read Articles

Employment law proposals set to impact Australia's employers in 2021

Qantas faces High Court challenge after unions allege misuse of JobKeeper

Uber avoids landmark ruling after settling case against former delivery driver