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GIG economy drivers are being robbed of £2 billion in wages due to Britain’s failure to regulate food delivery and private hire apps, a new report warns.
Unions today backed its calls for the government to mandate companies, such as Uber, to provide journey data to local authorities in order to tackle the problem.
This is already done in the US with regulators in New York City, Chicago, the state of California and Seattle using the data to ensure compliance with local transport, safety, environmental and employment laws.
It also allows them to set capacity limits or tax operators who do not utilise their fleet efficiently.
The report by the Worker Info Exchange (WIE), an international non-governmental organisation that focuses on digital rights at work, was released as Uber’s licence comes up for a renewal decision in London this month.
“Because gig economy employers misclassify workers [as self-employed] and do not pay them for waiting time, this has led to a distorting effect on the market,” it said.
Workers are being paid for as little as four to six hours for every 10 hours worked, leading to “fatigued driving risk.”
It added that “Uber operates at lower fatigue management safety standards in the UK compared to their policy standards in the US, Australia and New Zealand.”
WIE director James Farrar added British regulation has fallen far behind international regulatory norms, saying high standards of data transparency “are necessary so that all app-based transport services can be more effectively regulated.”
App Drivers and Couriers Union (ACDU) London chairman Zamir Dreni urged TfL and London Mayor Sadiq Khan to implement the report’s recommendations across all operators as their licences come up for renewal.
Licensed Taxi Drivers Association general secretary Steve McNamara added: “Robust public data sharing should be a condition of any operator’s licence and TfL must make this a priority to address the serious issues laid bare in this report.”
A spokesperson for TfL said: “We are unable to comment on the details of any licensing matters relating to a live application which is being considered.”
An Uber Spokesperson said: "All drivers in the UK receive worker rights such as a pension and holiday pay, with average earnings topping £30 per hour. Drivers want the choice to work for multiple apps, meaning that when they are not taking trips on Uber they are regularly earning on other apps."
The Department for Transport and the Mayor’s Office were contacted for comment.