Government & Policy

European Parliament agrees a way forward on platform workers’ rights

Comment

Glovo rider standing next to a bike
Image Credits: Natasha Lomas / TechCrunch

A European Union legislative proposal targeting the gig economy’s tendency to ride rough-shod over workers’ rights has inched a step closer today as the parliament agreed its negotiating position.

In the coming weeks (or, well, months) the onus will be on the EU Council to agree on its own position on a file that’s proved extremely divisive.

The Commission’s original proposal introduced a rebuttable presumption of employment for platform workers, with the aim of enforcing minimum standards in areas like pay, conditions and social protections. While another component aims to strengthen the rights of workers who are subject to algorithmic management.

The package has the potential to have far-reaching impacts for the millions of precarious workers laboring on digital platforms without being recognized as employees — despite their labor being tightly management by algorithms and monetized by platform giants.

MEPs voted 376 in favour of the mandate for starting talks with Member States on the platform worker directive, with 212 votes against (and 15 abstentions) — a ratio that underlines how much disagreement remains even in the parliament on how far the EU should be in regulating an employment-related issue.

Employment is an area where there can be considerable differences of national law — and differences of approach on the platform worker issue specifically. See, for instance, Spain’s ‘riders law’ reform which seeks to force platforms to employ delivery couriers. Or, on the flip side, France’s long-running push to shield gig platforms from having to reclassify workers as employees (via Politico).

A pan-EU set of ‘minimum standards’ in this area therefore has to navigate a patchwork of national practices and preferences, vulnerable workers and massive lobbying operations by gig giants like Uber — hoping to use the file as an opportunity to lower European standards for precarious workers.

The Commission only presented its proposal to flip the odds on tech-fuelled exploitation of workers back in December 2021 — after attempting (and failing) to get platforms and workers reps to hash out a way forward themselves — so progress has already been painstaking. And it’s still not clear when — or even if — the file will make it through as agreed legislation, or remain parked.

So far, the Council, the body that’s made up of representatives of EU Member States’ governments, has remained divided on how to tackle the gig economy employment classification issue — with some Member States in favor of strengthening protections for gig workers and others apparently keen to shield platforms from the expense of employing large numbers of gig workers.

The “trilogue” discussions, between the parliament, Council and Commission — to try to hash out a consensus on a final, ‘balanced’ text — can’t start until the Council adopts a general mandate for negotiations. So even with MEPs moving forward progress remains stalled.

Per Euractiv, MEPs pushed for the directive to go further than the Commission proposal — and the text agreed for their negotiating mandate removes a focus in the draft on certain criteria being met for the rebuttable presumption of employment to kick in in favor of centering the contractual relationship between platform and worker. A reworked set of criteria have been included but rather they’re there to inform platforms’ rebuttable proceedings.

The Parliament also backed having stronger transparency and information rules around how automated tools and algorithms are used for managing workers.

Member States, however, are likely to push back — and try to water down the proposed protections for gig workers. So where the file ends up remains to be seen. But given the level of opposition in the Parliament to a negotiating position which aims to improve on the Commission’s proposal for protecting platform workers, it might not bode well for a final text that’s robust enough to reform an exploitative business model which seeks scale at the expense of workers’ rights.

India’s gig economy drivers face bust in the country’s digital boom

Europe lays out a plan to flip the odds on gig economy exploitation

More TechCrunch

The spam reached Bluesky by first crossing over two other decentralized networks: Mastodon and Nostr.

The ‘vote Trump’ spam that hit Bluesky in May came from decentralized rival Nostr

Welcome to TechCrunch Fintech! This week, we’re looking at the continued fallout from Synapse’s bankruptcy, how Layer wants to disrupt SMB accounting, and much more! To get a roundup of…

There’s a real appetite for a fintech alternative to QuickBooks

The company is hoping to produce electricity at $13 per megawatt hour, which would be more than 50% cheaper than traditional onshore wind.

Bill Gates-backed wind startup AirLoom is raising $12M, filings reveal

Generative AI makes stuff up. It can be biased. Sometimes it spits out toxic text. So can it be “safe”? Rick Caccia, the CEO of WitnessAI, believes it can. “Securing…

WitnessAI is building guardrails for generative AI models

It’s not often that you hear about a seed round above $10 million. H, a startup based in Paris and previously known as Holistic AI, has announced a $220 million…

French AI startup H raises $220M seed round

Hey there, Series A to B startups with $35 million or less in funding — we’ve got an exciting opportunity that’s tailor-made for your growth journey! If you’re looking to…

Boost your startup’s growth with a ScaleUp package at TC Disrupt 2024

TikTok is pulling out all the stops to prevent its impending ban in the United States. Aside from initiating legal action against the U.S. government, that means shaping up its…

As a US ban looms, TikTok announces a $1M program for socially driven creators

Microsoft wants to put its Copilot everywhere. It’s only a matter of time before Microsoft renames its annual Build developer conference to Microsoft Copilot. Hopefully, some of those upcoming events…

Microsoft’s Power Automate no-code platform adds AI flows

Build is Microsoft’s largest developer conference and of course, it’s all about AI this year. So it’s no surprise that GitHub’s Copilot, GitHub’s “AI pair programming tool,” is taking center…

GitHub Copilot gets extensions

Microsoft wants to make its brand of generative AI more useful for teams — specifically teams across corporations and large enterprise organizations. This morning at its annual Build dev conference,…

Microsoft intros a Copilot for teams

Microsoft’s big focus at this year’s Build conference is generative AI. And to that end, the tech giant announced a series of updates to its platforms for building generative AI-powered…

Microsoft upgrades its AI app-building platforms

The U.K.’s data protection watchdog has closed an almost year-long investigation of Snap’s AI chatbot, My AI — saying it’s satisfied the social media firm has addressed concerns about risks…

UK data protection watchdog ends privacy probe of Snap’s GenAI chatbot, but warns industry

U.S. cell carrier Patriot Mobile experienced a data breach that included subscribers’ personal information, including full names, email addresses, home ZIP codes and account PINs, TechCrunch has learned. Patriot Mobile,…

Conservative cell carrier Patriot Mobile hit by data breach

It’s been three years since Spotify acquired live audio startup Betty Labs, and yet the music streaming service isn’t leveraging the technology to its fullest potential — at least not…

Spotify’s ‘Listening Party’ feature falls short of expectations

Alchemist Accelerator has a new pile of AI-forward companies demoing their wares today, if you care to watch, and the program itself is making some international moves into Tokyo and…

Alchemist’s latest batch puts AI to work as accelerator expands to Tokyo, Doha

“Late Pledge” allows campaign creators to continue collecting money even after the campaign has closed.

Kickstarter now lets you pledge after a campaign closes

Stack AI’s co-founders, Antoni Rosinol and Bernardo Aceituno, were PhD students at MIT wrapping up their degrees in 2022 just as large language models were becoming more mainstream. ChatGPT would…

Stack AI wants to make it easier to build AI-fueled workflows

Pinecone, the vector database startup founded by Edo Liberty, the former head of Amazon’s AI Labs, has long been at the forefront of helping businesses augment large language models (LLMs)…

Pinecone launches its serverless vector database out of preview

Young geothermal energy wells can be like budding prodigies, each brimming with potential to outshine their peers. But like people, most decline with age. In California, for example, the amount…

Special mud helps XGS Energy get more power out of geothermal wells

Featured Article

Sonos finally made some headphones

The market play is clear from the outset: The $449 headphones are firmly targeted at an audience that would otherwise be purchasing the Bose QC Ultra or Apple AirPods Max.

6 hours ago
Sonos finally made some headphones

Adobe says the feature is up to the task, regardless of how complex of a background the object is set against.

Adobe brings Firefly AI-powered Generative Remove to Lightroom

All cars suffer when the mercury drops, but electric vehicles suffer more than most as heaters draw more power and batteries charge more slowly as the liquid electrolyte inside thickens.…

Porsche Ventures invests in battery startup South 8 to boost cold-weather EV performance

Scale AI has raised a $1 billion Series F round from a slew of big-name institutional and corporate investors including Amazon and Meta.

Data-labeling startup Scale AI raises $1B as valuation doubles to $13.8B

The new coalition, Tech Against Scams, will work together to find ways to fight back against the tools used by scammers and to better educate the public against financial scams.

Meta, Match, Coinbase and others team up to fight online fraud and crypto scams

It’s a wrap: European Union lawmakers have given the final approval to set up the bloc’s flagship, risk-based regulations for artificial intelligence.

EU Council gives final nod to set up risk-based regulations for AI

London-based fintech Vitesse has closed a $93 million Series C round of funding led by investment giant KKR.

Vitesse, a payments and treasury management platform for insurers, raises $93M to fuel US expansion

Zen Educate, an online marketplace that connects schools with teachers, has raised $37 million in a Series B round of funding. The raise comes amid a growing teacher shortage crisis…

Zen Educate raises $37M and acquires Aquinas Education as it tries to address the teacher shortage

“When I heard the released demo, I was shocked, angered and in disbelief that Mr. Altman would pursue a voice that sounded so eerily similar to mine.”

Scarlett Johansson says that OpenAI approached her to use her voice

A new self-driving truck — manufactured by Volvo and loaded with autonomous vehicle tech developed by Aurora Innovation — could be on public highways as early as this summer.  The…

Aurora and Volvo unveil self-driving truck designed for a driverless future

The European venture capital firm raised its fourth fund as fund as climate tech “comes of age.”

ETF Partners raises €285M for climate startups that will be effective quickly — not 20 years down the road