The EU passed a vote to curb the use of bogus employment practices by online platforms
The European Parliament has adopted a measure allowing the Committee on Employment and Social Affairs to negotiate new rules with the Council relating to reclassifying digital platform workers. The directive's scope was originally limited only to traditional "platform players," but this restriction is now being eliminated in order for more companies to be covered by the legislation.
The new European Union's initiative to stop practices that are in opposition to established national taxation and social security systems. The directive aims to improve working conditions and rights for gig workers within the EU.
Yesterday's endorsement of EMPL's platform-based approach by the Parliament is a positive sign.
WE-TRANSFROM welcomes the Parliament's focus on digital labour platforms that are not following established rules. These platforms have been causing significant issues for workers, by depriving them of fair pay and benefits and failing to comply with applicable laws.
Yesterday's vote by the European Union Advocate General has been seen as a victory for commercial road transport operators, as she recommends that these businesses be allowed to continue employing traditional methods of work and self-employment in a balanced way. She also stresses the importance of taking into account social issues and taxation when making decisions about this industry.
The European Parliament has recognized that this model should not be eliminated just because of some deviating practices. Rather, new digital players should embrace the rules and adhere to them in order to maintain credibility and continue operating effectively.
“Moreover, it’s a special victory for taxi dispatch centers, which have been recognised as not being part of the ride-hailing industry for the first time. We hope that the remaining text, especially Articles 4 and 5 on the legal presumption of employment, will be improved in subsequent negotiations with the Council,” concluded Raluca Marian.
For the WE-TRANSFORM consortium, this measure is a huge success in the regulation of highly volatile and unsecured markets, that mainly employes students, ex-pats, and socially vulnerable groups.