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Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
The platform economy &
the employment relationship
DEPARTMENT CRIMINOLOGY, CRIMINAL LAW AND SOCIAL LAW
RESEARCH GROUP SOCIAL LAW
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Crowdworking & Crowdfunding
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Sharing
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Online Business Tools
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Coworking
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Webshopping’s ‘last mile’
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Crowdsourcing (B2B)
Intermediary Platforms (B2C)
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Sharing economy in Europe 2015
▪ 28 billion euro transactions (=0,018%)
▪ Peer2peer transport & accommodation lead
▪ 275 companies
▪ By 2025: x20
9
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Why?
Economic
Social
Ecological
What’s mine is mine
Quality
Security / Insurance
10
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Who?
▪ Young (18-24j, 25-34j)
▪ Educated
▪ Urban
11
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
By whom? ‘On demand workers’
▪ Survey in 5 European countries: ND, SWE, GER, UK, AT – end of 2016
▪ 12% respondents has worked on demand
▪ Frequency: 5% weekly/ 6% monthly
▪ For half: <10% of their income
▪ For 2,5%: >50% of their income
▪ Mostly young, relatively educated, gender tilted
12
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
‘Uber partners’? (USA)
▪ 50% are college educated
▪ 50% have a full time job besides Uber
▪ Only 30% have no other job
▪ 50% work less than 15hrs/week
▪ Turnover: 2/3 are gone in less than 2 years
13
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Motivation
▪ 80% value flexibility above all
▪ Independence
▪ Higher income
▪ Work/life balance
▪ In between jobs
14
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Issues…
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
What’s at stake?
▪ Working time
▪ Working conditions
▪ Insurances and liability
▪ Wages
▪ Termination and dismissal
▪ Taxes, annuation
▪ ….
▪ Hyper-flexible
▪ On demand
▪ Online
▪ Fee
▪ Partner
▪ Interface
▪ ….
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
The contractual model (as far as available)
▪ Electronic contractual access to an online platform & app
▪ Standard terms of use, including dispute resolution and
(often) choice of law
▪ ‘Partner’, ‘user’, ‘provider’, ‘tasker’, ‘member’, ‘driver’, etc.
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
The business model
= dating service
= pooling
= PayPal 2.0
▪ A platform for leads and
matching
▪ Voluntary asset sharing
▪ Instant and variable
payments + invoices
EMPLOYMENT
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Unpacking Employment v. Platform
Employment Platform
▪ Micro assignments
▪ Commitment to facilitate
leads
▪ Commitment to perform if
accepted
▪ Commitment to channel
fee paid by client
▪ Free at work
▪ Contract
▪ Employer commitment to
provide work
▪ Employee commitment to
perform work
▪ Employer commitment to
pay work
▪ Subordination
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Legally ‘independent’ or ‘subordinate’?
Independent Subordinate
▪ Quality guidelines and
review
▪ Brand visibility
▪ Skills
▪ Business control reality
▪ Price setting
▪ Personal performance
required
▪ ….
▪ Time control
▪ Free (not) to work
▪ Owner/renter of the asset
▪ No cost reimbursement
▪ No exclusivity
▪ Pay for performance
▪ ….
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
▪ Are platforms just platforms providing digital services, or
instead virtual transport/hotel/media/banking/…
businesses?
CJEU C-434/15 (2017)
 Licensing, insurances, liability, VAT, etc.
Case-law: the long hard road to clarity - Uber
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Case-law: the long hard road to clarity - Uber
▪ Are platforms just platforms providing leads, or instead
employers of the service providers?
Aslam and Farrar v. Uber (London Employment Tribunal 2016 &
Employment Appeal Tribunal 2017): ‘workers’ under UK law
Uber v NUPSAW and SATAWU obo Morekure and Others (CCMA
SA, 2017): employee
McGillis v. Uber (Florida Third District Court of Appeal, 2017): no
‘employee’ – control is on the result, and not on the means to be
employed
Menard v Uber (Conseil de Prud’hommes, Paris, 2018): no
‘employee’
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
30.07.2010Footer text - slideshow title
Case-law: the long hard road to clarity - Uber
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
The future
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Shifting sands
▪ Economic activity, relationships, and responsibilities are
being digitized
▪ Fractionalisation of work and working time: multitude of
ad hoc contractual arrangements
▪ Triangular relationships: the platform
▪ Distinction economic/non-economic and
independent/subordinate is blurred
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
The tension ahead
▪ Sharing economy = networks & trust
▪ To grow up = brand, uniformity, quality, reliability, control,
training, bargaining, …
 To do = to die?
Curtin University is a trademark of Curtin University of Technology
CRICOS Provider Code 00301J
Some food for thought
▪ ‘Uberification’ of work is not around the corner
▪ Technology blurs old distinctions, and is not going away
▪ Participation and polarization at the same time
▪ Networks = price fixing + winner takes all = anti-trust threat
▪ Systemic issues of jurisdiction and access to justice
▪ Time to blend for ‘economic worker’ status?
▪ A updated framework for casual/mini work?
▪ A special group category?
(
marc.devos@ugent.be
@devosmarc

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The platform economy and the employment relationship

  • 1. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J The platform economy & the employment relationship DEPARTMENT CRIMINOLOGY, CRIMINAL LAW AND SOCIAL LAW RESEARCH GROUP SOCIAL LAW
  • 2. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Crowdworking & Crowdfunding
  • 3. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Sharing
  • 4. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Online Business Tools
  • 5. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Coworking
  • 6. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Webshopping’s ‘last mile’
  • 7. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Crowdsourcing (B2B)
  • 9. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Sharing economy in Europe 2015 ▪ 28 billion euro transactions (=0,018%) ▪ Peer2peer transport & accommodation lead ▪ 275 companies ▪ By 2025: x20 9
  • 10. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Why? Economic Social Ecological What’s mine is mine Quality Security / Insurance 10
  • 11. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Who? ▪ Young (18-24j, 25-34j) ▪ Educated ▪ Urban 11
  • 12. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J By whom? ‘On demand workers’ ▪ Survey in 5 European countries: ND, SWE, GER, UK, AT – end of 2016 ▪ 12% respondents has worked on demand ▪ Frequency: 5% weekly/ 6% monthly ▪ For half: <10% of their income ▪ For 2,5%: >50% of their income ▪ Mostly young, relatively educated, gender tilted 12
  • 13. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J ‘Uber partners’? (USA) ▪ 50% are college educated ▪ 50% have a full time job besides Uber ▪ Only 30% have no other job ▪ 50% work less than 15hrs/week ▪ Turnover: 2/3 are gone in less than 2 years 13
  • 14. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Motivation ▪ 80% value flexibility above all ▪ Independence ▪ Higher income ▪ Work/life balance ▪ In between jobs 14
  • 15. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Issues…
  • 16. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J What’s at stake? ▪ Working time ▪ Working conditions ▪ Insurances and liability ▪ Wages ▪ Termination and dismissal ▪ Taxes, annuation ▪ …. ▪ Hyper-flexible ▪ On demand ▪ Online ▪ Fee ▪ Partner ▪ Interface ▪ ….
  • 17. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J The contractual model (as far as available) ▪ Electronic contractual access to an online platform & app ▪ Standard terms of use, including dispute resolution and (often) choice of law ▪ ‘Partner’, ‘user’, ‘provider’, ‘tasker’, ‘member’, ‘driver’, etc.
  • 18. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J The business model = dating service = pooling = PayPal 2.0 ▪ A platform for leads and matching ▪ Voluntary asset sharing ▪ Instant and variable payments + invoices EMPLOYMENT
  • 19. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Unpacking Employment v. Platform Employment Platform ▪ Micro assignments ▪ Commitment to facilitate leads ▪ Commitment to perform if accepted ▪ Commitment to channel fee paid by client ▪ Free at work ▪ Contract ▪ Employer commitment to provide work ▪ Employee commitment to perform work ▪ Employer commitment to pay work ▪ Subordination
  • 20. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Legally ‘independent’ or ‘subordinate’? Independent Subordinate ▪ Quality guidelines and review ▪ Brand visibility ▪ Skills ▪ Business control reality ▪ Price setting ▪ Personal performance required ▪ …. ▪ Time control ▪ Free (not) to work ▪ Owner/renter of the asset ▪ No cost reimbursement ▪ No exclusivity ▪ Pay for performance ▪ ….
  • 21. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J ▪ Are platforms just platforms providing digital services, or instead virtual transport/hotel/media/banking/… businesses? CJEU C-434/15 (2017)  Licensing, insurances, liability, VAT, etc. Case-law: the long hard road to clarity - Uber
  • 22. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Case-law: the long hard road to clarity - Uber ▪ Are platforms just platforms providing leads, or instead employers of the service providers? Aslam and Farrar v. Uber (London Employment Tribunal 2016 & Employment Appeal Tribunal 2017): ‘workers’ under UK law Uber v NUPSAW and SATAWU obo Morekure and Others (CCMA SA, 2017): employee McGillis v. Uber (Florida Third District Court of Appeal, 2017): no ‘employee’ – control is on the result, and not on the means to be employed Menard v Uber (Conseil de Prud’hommes, Paris, 2018): no ‘employee’
  • 23. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J 30.07.2010Footer text - slideshow title Case-law: the long hard road to clarity - Uber
  • 24. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J The future
  • 25. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Shifting sands ▪ Economic activity, relationships, and responsibilities are being digitized ▪ Fractionalisation of work and working time: multitude of ad hoc contractual arrangements ▪ Triangular relationships: the platform ▪ Distinction economic/non-economic and independent/subordinate is blurred
  • 26. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J The tension ahead ▪ Sharing economy = networks & trust ▪ To grow up = brand, uniformity, quality, reliability, control, training, bargaining, …  To do = to die?
  • 27. Curtin University is a trademark of Curtin University of Technology CRICOS Provider Code 00301J Some food for thought ▪ ‘Uberification’ of work is not around the corner ▪ Technology blurs old distinctions, and is not going away ▪ Participation and polarization at the same time ▪ Networks = price fixing + winner takes all = anti-trust threat ▪ Systemic issues of jurisdiction and access to justice ▪ Time to blend for ‘economic worker’ status? ▪ A updated framework for casual/mini work? ▪ A special group category?
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