in platform work Commission proposal for a Directive on Economic and Social Committee 18 February 2022 Max Uebe DG EMPL P latform work by the numbers 28 million people estimated to do platform work in the EU today 6 million onlocation ID: 1028539
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1. Improving working conditions in platform workCommission proposal for a Directive onEconomic and Social Committee18 February 2022 Max Uebe – DG EMPL
2. Platform work by the numbers28 million people estimated to do platform work in the EU today (6 million ‘on-location’, 22 million ‘online’). In 2025, increase to 43 million people. More than 500 digital labour platforms active in the EU.Revenues have grown 500% over the past five years. 92% of platforms work with self-employed.5.5 million people might be erroneously classified as “self-employed”. More than 120 court decisions on employment status in 12 Member States.55% of people on platforms earn less than the minimum wage. People on platforms do an average of 9 hours per week of unpaid work.
3. Worker status is the gateway to labour rights (and social protection)Most Terms & Conditions categorise people as self-employed Direction and control through algorithms – risk of misclassificationCourt claims on reclassification rather successful Uncertainty over applicable rulesChallenge No 1: Employment status
4. Algorithms carrying out managerial tasks:Automated decision-making (“black boxes”): task allocation, bonuses, penalties, ratings, etc.Surveillance: location, activity, output Impact on earnings and ratings assessmentProblem: insufficient transparency, human oversight and remediesLargely unaddressed in labour lawChallenge No 2: Algorithmic management
5. The proposed Directive: objectivesImprove the working conditions of persons performing platform work by …… while supporting the conditions for the sustainable growth of digital labour platforms in the Union. ensuring correct determination of their employment statusimproving transparency in platform work, including in cross-border situationspromoting transparency, fairness and accountability in algorithmic management
6. The proposed Directive: main provisionsrebuttable presumption of employment relationship (including shift in the burden of proof)new set of rights for people subject to algorithmic management on platforms obligations for platforms to provide information on people working through them and their terms and conditions
7. Individualsevery person performing platform work in the Union who has, or who based on an assessment of facts may be deemed to have, an employment relationship who does not have an employment contract or employment relationship => only certain rights in relation to algorithmic managementPlatformsdigital labour platforms organising platform work performed in the Unionirrespective of their place of establishmentScope
8. Digital labour platform Provider of a commercial service :internet-basedprovided at the request of a clientinvolves the organisation of work performed by individuals, online or in a certain locationOrganisation of worksignificant role in matching demand and supply of labourExcludes: online business directories, job adverts etc.Definition
9. legal presumption of employment relationship for digital labour platforms that control the performance of work (cf. criteria next slide)applicable in all relevant administrative and legal proceedings no retroactive effectMS‘ supporting measures:information for the publicguidance for platforms and people performing platform work (incl. procedures for rebuttal) and for enforcement authoritiescontrols and field inspectionsRebuttable presumption
10. controlling the performance of work effectively determining, or setting upper limits for the level of remuneration; requiring the person performing platform work to respect specific binding rules with regard to appearance, conduct towards the recipient of the service or performance of the work; supervising the performance of work or verifying the quality of the results of the work including by electronic means;effectively restricting the freedom, including through sanctions, to organise one’s work, in particular the discretion to choose one’s working hours or periods of absence, to accept or to refuse tasks or to use subcontractors or substitutes; effectively restricting the possibility to build a client base or to perform work for any third party.fulfilling at least two criteria will trigger the presumptionPresumption – criteria
11. Automated monitoring and decision-making systemstransparency (type of actions monitored/evaluated, automated decisions, main parameters)restriction of data use (e.g. while not working)human monitoring of automated systemsreview of significant decisions (obtain explanations, access to contact person, request to review decisions, reply within one week)information and consultation of representativesAlgorithmic management – new rights
12. Digital labour platforms which are employers must: declare work performed by platform workersAll digital labour platforms must:make available information to labour, social protection and other authorities + worker representatives about:number of persons performing platform workcontractual or employment statusterms and conditionsTransparency on platform work
13. Standard enforcement provisionsAccess to evidence Communication channels Possibility for persons performing platform work to contact and communicate with each other + be contacted by representativesthrough the digital infrastructure of the digital labour platformEnforcement provisions