Uber [UBER. UL] has lost its latest court bid to stop its British drivers being classified as workers, entitling them to rights such as the minimum wage, in a decision which jeopardizes the taxi app’s business model.
LONDON (Reuters) – Uber [UBER. UL] has lost its latest court bid to stop its British drivers being classified as workers, entitling them to rights such as the minimum wage, in a decision which jeopardizes the taxi app’s business model.
Two drivers successfully argued at a tribunal in 2016 that the Silicon Valley firm exerted significant control over them to provide an on-demand service, and that they should cease to be considered as self-employed, which gives few protections in law.
An employment appeal tribunal upheld that decision last year, prompting Uber to go to the Court of Appeal. On Wednesday, a majority of judges there said they agreed with the previous verdicts and rejected Uber’s arguments.