Uber and Canadian union reach agreement to support on-demand worker benefits and flexibility


Jan 27 (Reuters) – Uber Technologies Inc (UBER.N) said on Thursday it has reached an agreement with Canada’s largest service sector union to back the public transit and food delivery company’s proposal to a benefits fund without changing gig workers’ status as independent contractors.

Uber said the agreement with the United Food and Commercial Workers Canada (UFCW Canada) would also ensure that the company’s 100,000 Canadian drivers and delivery people can benefit from union representation when workers face deactivation of their accounts or during other disputes with the company.

The union will also meet with Uber regularly to address worker concerns, Uber said in a blog post.

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Uber and the UFCW will jointly lobby provincial governments across Canada to enact labor law reforms that would provide gig workers with a minimum wage standard, a benefits fund and access to workers’ rights. workers.

Under the agreement, the union will not push for gig workers to be reclassified as employees, but will instead support their status as independent contractors – a central conflict in the debate between unions and companies on-demand economy.

Uber struck a similar deal last year with UK union GMB, allowing it to represent up to 70,000 drivers and build worker power through collective bargaining.

Gig businesses have long been criticized for the lack of benefits and protections they provide to their independent contractors. Many unions, some lawmakers and the Biden administration have said gig workers should be reclassified as employees. Read more

Uber, Lyft Inc (LYFT.O), DoorDash Inc (DASH.N) and other companies say the majority of their drivers do not want to be employees, a status the companies say deprives workers of the opportunity to log in and log out. apps whenever you want. Read more

In recent years, Uber has pushed lawmakers in the United States, Canada and the European Union to implement what it calls the “Third Way” – a compromise that would maintain workers’ status as contractors, but would offer them certain advantages. Read more

California voters in 2020 endorsed such a compromise model in a landslide victory for business, dividing the American labor movement over its strategy toward gig workers.

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Reporting by Tina Bellon in Austin, Texas Editing by Paul Simao

Our standards: The Thomson Reuters Trust Principles.


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