AI

Uber hit with default ‘robo-firing’ ruling after another EU labor rights GDPR challenge

Comment

Image Credits: Getty Images

Labor activists challenging Uber over what they allege are ‘robo-firings’ of drivers in Europe have trumpeted winning a default judgement in the Netherlands — where the Court of Amsterdam ordered the ride-hailing giant to reinstate six drivers who the litigants claim were unfairly terminated “by algorithmic means.”

The court also ordered Uber to pay the fired drivers compensation.

The challenge references Article 22 of the European Union’s General Data Protection Regulation (GDPR) — which provides protection for individuals against purely automated decisions with a legal or significant impact.

The activists say this is the first time a court has ordered the overturning of an automated decision to dismiss workers from employment.

However the judgement, which was issued on February 24, was issued by default — and Uber says it was not aware of the case until last week, claiming that was why it did not contest it (nor, indeed, comply with the order).

It had until March 29 to do so, per the litigants, who are being supported by the App Drivers & Couriers Union (ADCU) and Worker Info Exchange (WIE).

Uber argues the default judgement was not correctly served and says it is now making an application to set the default ruling aside and have its case heard “on the basis that the correct procedure was not followed.”

It envisages the hearing taking place within four weeks of its Dutch entity, Uber BV, being made aware of the judgement — which it says occurred on April 8.

“Uber only became aware of this default judgement last week, due to representatives for the ADCU not following proper legal procedure,” an Uber spokesperson told TechCrunch.

A spokesperson for WIE denied that correct procedure was not followed but welcomed the opportunity for Uber to respond to questions over how its driver ID systems operate in court, adding: “They [Uber] are out of time. But we’d be happy to see them in court. They will need to show meaningful human intervention and provide transparency.”

Uber pointed to a separate judgement by the Amsterdam Court last month — which rejected another ADCU- and WIE-backed challenge to Uber’s anti-fraud systems, with the court accepting its explanation that algorithmic tools are mere aids to human “anti-fraud” teams who it said take all decisions on terminations.

“With no knowledge of the case, the Court handed down a default judgement in our absence, which was automatic and not considered. Only weeks later, the very same Court found comprehensively in Uber’s favour on similar issues in a separate case. We will now contest this judgement,” Uber’s spokesperson added.

However WIE said this default judgement “robo-firing” challenge specifically targets Uber’s Hybrid Real-Time ID System — a system that incorporates facial recognition checks and which labor activists recently found misidentifying drivers in a number of instances.

It also pointed to a separate development this week in the U.K. where it said the City of London Magistrates Court ordered the city’s transport regulator, TfL, to reinstate the licence of one of the drivers revoked after Uber routinely notified it of a dismissal (also triggered by Uber’s real time ID system, per WIE).

Reached for comment on that, a TfL spokesperson said: “The safety of the travelling public is our top priority and where we are notified of cases of driver identity fraud, we take immediate licensing action so that passenger safety is not compromised. We always require the evidence behind an operator’s decision to dismiss a driver and review it along with any other relevant information as part of any decision to revoke a licence. All drivers have the right to appeal a decision to remove a licence through the Magistrates’ Court.”

The regulator has been applying pressure to Uber since 2017 when it took the (shocking to Uber) decision to revoke the company’s licence to operate — citing safety and corporate governance concerns.

Since then Uber has been able to continue to operate in the U.K. capital but the company remains under pressure to comply with a laundry list of requirements set by TfL as it tries to regain a full operator licence.

Commenting on the default Dutch judgement on the Uber driver terminations in a statement, James Farrar, director of WIE, accused gig platforms of “hiding management control in algorithms.”

“For the Uber drivers robbed of their jobs and livelihoods this has been a dystopian nightmare come true,” he said. “They were publicly accused of ‘fraudulent activity’ on the back of poorly governed use of bad technology. This case is a wake-up call for lawmakers about the abuse of surveillance technology now proliferating in the gig economy. In the aftermath of the recent U.K. Supreme Court ruling on worker rights gig economy platforms are hiding management control in algorithms. This is misclassification 2.0.”

In another supporting statement, Yaseen Aslam, president of the ADCU, added: “I am deeply concerned about the complicit role Transport for London has played in this catastrophe. They have encouraged Uber to introduce surveillance technology as a price for keeping their operator’s license and the result has been devastating for a TfL licensed workforce that is 94% BAME. The Mayor of London must step in and guarantee the rights and freedoms of Uber drivers licensed under his administration.”  

When pressed on the driver termination challenge being specifically targeted at its Hybrid Real-Time ID system, Uber declined to comment in greater detail — claiming the case is “now a live court case again”.

But its spokesman suggested it will seek to apply the same defence against the earlier “robo-firing” charge — when it argued its anti-fraud systems do not equate to automated decision making under EU law because “meaningful human involvement [is] involved in decisions of this nature”.

Update: A spokesperson for the Court of Amsterdam was unable to verify Uber’s claim that due process was not followed, saying: “The case is closed since we gave the verdict.”

Uber under pressure over facial recognition checks for drivers

Uber loses gig workers rights challenge in UK Supreme Court

Uber wins latest London licence appeal — but renewal is only for 18 months

 

More TechCrunch

The problem is not the media, but the message.

Apple’s ‘Crush’ ad is disgusting

Ever wonder why conversational AI like ChatGPT says “Sorry, I can’t do that” or some other polite refusal? OpenAI is offering a limited look at the reasoning behind its own…

OpenAI offers a peek behind the curtain of its AI’s secret instructions

The federal government agency responsible for granting patents and trademarks is alerting thousands of filers whose private addresses were exposed following a second data spill in as many years. The…

US Patent and Trademark Office confirms another leak of filers’ address data

As part of an investigation into people involved in the pro-independence movement in Catalonia, the Spanish police obtained information from the encrypted services Wire and Proton, which helped the authorities…

Encrypted services Apple, Proton and Wire helped Spanish police identify activist

Match Group, the company that owns several dating apps, including Tinder and Hinge, released its first-quarter earnings report on Tuesday, which shows that Tinder’s paying user base has decreased for…

Match looks to Hinge as Tinder fails

Private social networking is making a comeback. Gratitude Plus, a startup that aims to shift social media in a more positive direction, is expanding its wellness-focused, personal reflections journal to…

Gratitude Plus makes social networking positive, private and personal

With venture totals slipping year-over-year in key markets like the United States, and concern that venture firms themselves are struggling to raise more capital, founders might be worried. After all,…

Can AI help founders fundraise more quickly and easily?

Google has found a way to bring a variation of its clever “Circle to Search” gesture to iPhone users. The new interaction, launched in January, allows Android users to search…

Google brings a variation on ‘Circle to Search’ to iPhone users

A new sculpture going live on Wednesday in the Flatiron South Public Plaza in New York is not your typical artwork. It combines technology, sociology, anthropology and art to let…

Always-on video portal lets people in NYC and Dublin interact in real time

Apple’s iPad event had a lot to like. New iPads with new chips and new sizes, a new Apple Pencil, and even some software updates. If you are a big…

TechCrunch Minute: When did iPads get as expensive as MacBooks?

Autonomous, AI-based players are coming to a gaming experience near you, and a new startup, Altera, is joining the fray to build this new guard of AI agents. The company announced…

Bye-bye bots: Altera’s game-playing AI agents get backing from Eric Schmidt

Google DeepMind has taken the wraps off a new version of AlphaFold, their transformative machine learning model that predicts the shape and behavior of proteins. AlphaFold 3 is not only…

Google DeepMind debuts huge AlphaFold update and free proteomics-as-a-service web app

Uber plans to deliver more perks to Uber One members, like member-exclusive events, in a bid to gain more revenue through subscriptions.  “You will see more member-exclusives coming up where…

Uber promises member exclusives as Uber One passes $1B run-rate

We’ve all seen them. The inspector with a clipboard, walking around a building, ticking off the last time the fire extinguishers were checked, or if all the lights are working.…

Checkfirst raises $1.5M pre-seed to apply AI to remote inspections and audits

Close to a decade ago, brothers Aviv and Matteo Shapira co-founded a company, Replay, that created a video format for 360-degree replays — the sorts of replays that have become…

Controversial drone company Xtend leans into defense with new $40 million round

Usually, when something starts to rot, it gets pitched in the trash. But Joanne Rodriguez wants to turn the concept of rot on its head by growing fungus on trash…

Mycocycle uses mushrooms to upcycle old tires and construction waste

Monzo has raised another £150 million ($190 million), as the challenger bank looks to expand its presence internationally — particularly in the U.S. The new round comes just two months…

UK challenger bank Monzo nabs another $190M as US expansion beckons

iRobot has announced the successor to longtime CEO, Colin Angle. Gary Cohen, who previous held chief executive role at Timex and Qualitor Automotive, will be heading up the company, marking a major…

iRobot names former Timex head Gary Cohen as CEO

Reddit — now a publicly-traded company with more scrutiny on revenue growth — is putting a big focus on boosting its international audience, starting with francophones. In their first-ever earnings…

Reddit tests automatic, whole-site translation into French using LLM-based AI

Mushrooms continue to be a big area for alternative proteins. Canada-based Maia Farms recently raised $1.7 million to develop a blend of mushroom and plant-based protein using biomass fermentation. There’s…

Meati Foods bites into another $100M amid growth to 7,000 retail locations

Cleaning the outside of buildings is a dirty job, and it’s also dangerous. Lucid Bots came on the scene in 2018 with its Sherpa line of drones to clean windows…

Lucid Bots secures $9M for drones to clean more than your windows

High interest rates and financial pressures make it more important than ever for finance teams to have a better handle on their cash flow, and several startups are hoping to…

Israeli startup Panax raises a $10M Series A for its AI-driven cash flow management platform

The European Union has deepened the investigation of Elon Musk-owned social network, X, that it opened back in December under the bloc’s online governance and content moderation rulebook, the Digital Services Act…

EU grills Elon Musk’s X about content moderation and deepfake risks

For the founders of Atlan, a data governance startup, data has always been at the heart of what they do, even before they launched the company. In fact, co-founders Prukalpa…

Atlan scores $105M for its data control plane, as LLMs boost importance of data

It is estimated that about 2 billion people, especially those in lower- and middle-income countries, lack access to quality and affordable essential medicines. The situation is exacerbated by low-quality or even killer…

Axmed raises $2M from Founderful to streamline drug supply chains in underserved markets

For decades, the Global Positioning System (GPS) has maintained a de facto monopoly on positioning, navigation and timing, because it’s cheap and already integrated into billions of devices around the…

Xona Space Systems closes $19M Series A to build out ultra-accurate GPS alternative

Bankruptcy lawyers representing customers impacted by the dramatic crash of cryptocurrency exchange FTX 17 months ago say that the vast majority of victims will receive their money back — plus interest. The…

FTX crypto fraud victims to get their money back — plus interest

On Wednesday, Google launched its digital wallet in India with local integrations, nearly two years after the app was relaunched as a digital wallet platform in the U.S. As TechCrunch exclusively reported last month,…

Google Wallet is now available in India

Bluesky has launched a new product roadmap for the coming months. The decentralized social network said on Tuesday that it is planning to introduce direct messages, support for videos, improved…

Bluesky to add DMs, video support and in-app custom feed curation

Samsung Medison, a medical device unit of Samsung Electronics that specializes in developing diagnostic imaging devices, said on Wednesday it plans to acquire Sonio, a Paris-based startup that makes AI-powered software…

Samsung Medison to acquire French AI ultrasound startup Sonio for $92.7M