The fight that Uber drivers find themselves in with regards to their official employment classification continues. Independent contractors is not how drivers ideally want to be called, since this classification deprives them of benefits.
On Tuesday, a Dutch court ruled that Uber drivers in the area should be classified as self-employed people. Here’s the story scoop.
‘Independent entrepreneurs’
Ridesharing media reported that a Dutch court has successfully overturned a ruling way from 2021 classifying Uber drivers as employees. The ruling said that individual drivers could be treated as independent entrepreneurs.
“This ruling is a clear victory for thousands of drivers in the Netherlands who have spent more than five years fighting to protect their status as independent workers,” Uber told Ridesharing Forum in a statement. “We now look forward to working constructively with drivers, unions, and policymakers to protect the flexibility drivers desire, while ensuring the protections they deserve.”
Google defines independent entrepreneurs, otherwise pertained to as sole proprietors, as those who own, manage, and operate their business alone, without partners or employees, assuming every risk and responsibility.
“They work on their own behalf to make a profit, offering services or products while maintaining full control over business decisions,” it further noted.
It’s the perfect term and classification for these ridesharing drivers, though that definition may not completely pertain to them.
Dismissal
The Amsterdam court mentioned six drivers who took part and signed up in the rideshare company in its appeal should be classified self-employed rather than employees, given the investments they made in their vehicles, their freedom to select their working hours, and their capability to accept or reject rides from passengers.
This similar court dismissed arguments from a labor union, stating that every Uber driver must be treated as employees, just like that of a taxi company.
Furthermore, Dutch authorities stated the relationship between Uber and its drivers needed to be determined on an individual basis.
However, unions are reportedly disappointed with the ruling, since they pointed out that this doesn’t change anything. It’s the benefits that these drivers are looking for.
In context, Uber has faced the same pattern of cases elsewhere. Last November, a court in New Zealand ruled that drivers are employees, while a court in Great Britain ruled in 2021 that they are eligible to worker rights like minimum wage.
Meanwhile, in France, in 2023, it ruled that Uber must pay around $21 million in damages to rideshare drivers who stated they must be treated like employees, and experience the benefits. For more ridesharing news, keep following this Ridesharing Forum website.