Uber has agreed to give its UK drivers holiday pay and pensions following a landmark ruling in the Supreme Court.
The taxi app said all of its 70,000 drivers in the UK will be eligible to receive holiday pay on a fortnightly basis following the case at the UK’s top court, which ruled that drivers are employees of the tech giant rather self-employed.
From tomorrow, they will automatically be signed up for a pension plan, with Uber also paying into the scheme, the Telegraph reported.
Last month, Supreme Court judges unanimously rejected Uber’s appeal against a ruling that a group of its drivers should be recognised as “workers”.
After nearly five years in the courts, the decision is expected profound implications for the so-called gig economy workers and their employers.
Previously, Uber drivers are currently treated as self-employed, meaning that in law they are only afforded minimal protections.
But the ruling means that the drivers in question will now be entitled to basic employment rights such as the minimum wage and paid annual leave.
The decision could also unleash a flood of similar claims against Uber. There are around 1,000 similar cases – which had been held pending the ruling – that could now be brought forward.