Sydney, Australia, Aug 26 (EFE).- New Zealand’s Court of Appeal on Monday recognized Uber drivers as employees of the company, a ruling that could significantly impact labor relations within the country’s gig economy.
The ruling upholds a decision by the New Zealand Labour Court from October 2022, which supported four Uber drivers seeking employee status under New Zealand law. The recognition entitles them to benefits such as minimum wage, sick leave, and retirement funds.
Uber appealed the decision in June 2023, but the Court of Appeal judges dismissed the appeal on Monday and ordered the company to pay the plaintiffs’ legal costs, according to the 76-page ruling published on the judicial portal.
“We are satisfied that the four drivers were employed by one or more companies in the Uber group to do work for hire or reward under a contract of service at times when they were logged in to the Uber driver app,” a three-judge panel said in the rulng.
The ruling emphasized that the drivers were not running independent transportation businesses during these periods.
Uber responded by stating it will not alter its operations in New Zealand due to this decision and announced plans to take the case to the High Court, the highest judicial authority in the country, according to the New Zealand Herald.
The company has about 700 drivers in New Zealand, where the government of Prime Minister Christopher Luxon is reviewing labor laws that could allow contractors to sign agreements explicitly stating that they do not have full employee rights, the media report said. EFE
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