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Uber Technologies

Uber’s Efforts to Stop Drivers Getting Benefits in the U.K. Just Took Another Hit

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Fortune Editors and Reuters
Fortune Editors and Reuters
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By
Fortune Editors and Reuters
Fortune Editors and Reuters
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December 5, 2017, 4:41 AM ET

Uber’s (UBER) request to appeal a workers’ rights decision to the U.K. Supreme Court was rejected, according to drivers’ union Independent Workers Union of Great Britain (IWGB).

The decision would mean that the Court of Appeal will have to hear the case first.

Two weeks ago, the ride-hailing app submitted a request to appeal directly to the Supreme Court a decision by a British tribunal that said its drivers deserved workers’ rights such as minimum wage.

Read: Uber’s Q3 Loss Widens as SoftBank Makes First Offer on Shares

The ruling would greatly increase Uber’s operating costs in the U.K. if its 40,000 drivers across the country made use of it.Uber is not in the best position to absorb such costs, given that it has lost over $2.5 billion in the last two quarters.

However, the company argues that most of its drivers are happy to be classed as independent, due to the greater flexibility that that status allows them.

Read: Uber Just Lost Another Battle in the U.K.

“Today’s decision is another blow to Uber’s legal strategy behind denying workers their rights”, IWGB General Secretary Jason Moyer-Lee said in an e-mailed statement.

Uber spokesman said the company will now take the case to the Court of Appeal.

 

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