Employment Tribunal case against ‘Uber’ could drive change in taking on resource

By KMC Human Resources

10 Aug 2016

A new case that started in the Employment Tribunal in July is being called the ‘the case of the year in UK employment law’ and could result in sweeping changes to the way businesses take on additional resources.

By Karen Credie, KMC HR.

The case will see 19 Uber drivers take an employment challenge to the company, claiming that they should be officially recognised as ‘workers’ for the company, and therefore receive the appropriate rights and benefits.

Beginning last month with two test cases, the Tribunal will hear the drivers’ claims that the terms and conditions of their work with Uber actually classify them as ‘workers’ as opposed to self-employed people with their own business. Their legal representatives are arguing that certain elements to the way the Uber model operates, such as the rating system that applies to drivers and the fact that drivers do not receive information as to the drop-off location of their customers, means the drivers are workers rather than self-employed people.

There is also an interesting nuance in the business’ core service that will come into play here; Uber argue that they are not a taxi operator themselves and therefore cannot employ drivers. They claim they are a technology company that simply provide a platform for people wanting a taxi ride to find a driver nearby.

But what does it matter; what’s in a name anyway? Interestingly, the Uber drivers are not claiming that they should be classed as ‘employees’, but ‘workers’. A subtle but significant difference in UK employment law, workers have fewer rights than employees, but are entitled to certain basic rights and benefits such as the national minimum wage, holiday pay, the right not to be discriminated against and the right not to have deductions made from their salary. All of these entitlements have a cost to businesses, making the outcome of this case one that will be eagerly awaited. If the drivers are successful, other businesses might face similar claims. With a growing number of businesses choosing to hire in the help of self-employed people rather than take on employees, the outcome of this case could be relevant for thousands of businesses and may set new guidelines for hiring additional human resource in this manner.

Latest news

1

Preston firm starts work on major Merseyside warehouse development Huyton 220 1

Preston firm starts work on major Merseyside warehouse development

25 Sep 2026

2

Pothole repair machine seals hattrick of award wins for Multevo Hugh Dennis Presents Multevo With Product Of The Year Award

Pothole repair machine seals hattrick of award wins for Multevo

25 Sep 2026

3

The north needs its older homes in the plan Zak Khan

The north needs its older homes in the plan

25 Sep 2026

4

Sowena signs up to sponsor Red Rose Awards Deal of the Year RRA Sowena Group

Sowena signs up to sponsor Red Rose Awards Deal of the Year

25 Sep 2026

5

Cyber specialist wins £295,000 of Innovate UK funding    Richard Stephenson Yudu Sentinel

Cyber specialist wins £295,000 of Innovate UK funding   

25 Sep 2026

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
All In One Network
LBV Website Events GraphicAll In One Network 15 Oct 2026

All In One Network

The Leisure Box, Northlight, Glen Way, Brierfield , BB9 5NH

14:00 - 16:00

Sub36 Awards 2026
Sub36 WW Logo720 16 Oct 2026

Sub36 Awards 2026

Park Hall Hotel & Spa, Chorley, PR7 5LP

18:30 - 00:30

LBV131 November/December Magazine Networking Event
LBV131 Magazine Launch Social720No Text 19 Nov 2026

LBV131 November/December Magazine Networking Event

Lancashire

08:30 - 10:30

Lancashire Business Day 2026
LBD26 WW Logo720 27 Nov 2026

Lancashire Business Day 2026

Burnley Football Club, BB10 4BX

12:00 - 17:00

Help to Grow: Management Course
Help To Grow 25 Sep 2026 - 15 Dec 2026

Help to Grow: Management Course

University of Lancashire, Preston, PR1 2HE

09:30 - 12:00

90 Day Business Planning Workshop
90 Day Business Planning Workshop 25 Sep 2026

90 Day Business Planning Workshop

The Holiday Inn, Bolton, BL1 2EW

09:00 - 16:30

Employment law webinar - an update on key ERA 2025 changes
LBV Website Events GraphicEmployment Law Webinar 29 Sep 2026

Employment law webinar - an update on key ERA 2025 changes

Online, Preston, PR1 3JD

12:00 - 13:00

Preston Tech Connection Coworking Day at Society1
Preston Tech 2 29 Sep 2026

Preston Tech Connection Coworking Day at Society1

Society1, Coworking Space, Preston, PR1 3LT

09:00 - 17:00

Business on Par Burnley
Business on Par LBV Banner (1200 x 800 px).png.png 30 Sep 2026

Business on Par Burnley

Prairie Sports Village, Burnley, BB10 2FU

09:00 - 11:00

Unfair Dismissal: The critical update employers can’t afford to miss
Lancaster And Morecambe Logo 1 30 Sep 2026

Unfair Dismissal: The critical update employers can’t afford to miss

The Longlands Hotel, Carnforth, LA6 1JH

08:00 - 10:00

SheChain Live - Where Lancashire business meets opportunity
SheChain Live (3).png.png 01 Oct 2026 - 01 Oct 2026

SheChain Live - Where Lancashire business meets opportunity

Blackpool Conference Centre, Winter Gardens (Leopold Grove entrance), Blackpool, FY1 1HL

09:30 - 16:15

Breakfast Social and Coworking Day: October
Breakfast Social 01 Oct 2026

Breakfast Social and Coworking Day: October

Society1, 9-10 Cross Street, Preston, PR1 3LT

10:00 - 12:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV129 Online Graphic
Subscribe now

Weekly news bulletin