"By abstaining today on the EU’s draft directive to regulate platform work, the German government has missed an important opportunity to improve the working conditions of millions of people in Europe. This is a major mistake.
Fair rules for work on or via internet platforms are long overdue. Only in this way can workers benefit from the advantages of digitalization. An online-based parallel labor market, in which internet companies undermine legal and collective bargaining standards and circumvent worker participation, harms all workers. This injustice must be rectified. We will continue to advocate for this in the upcoming consultation and agreement process.
We do not want an “Amazonization” of the world of work.”
Further information:
(Source: https://www.consilium.europa.eu/de/policies/platform-work-eu/)
Platform work is a form of employment in which organizations or individuals connect with other organizations or individuals via an online platform to solve specific problems or provide specific services in exchange for payment.
Platform work takes many forms and has various dimensions; it is also referred to as the gig economy. While the growth of digital platforms has brought benefits to both businesses and consumers, it has led to a gray area regarding the employment status of many workers.
In the EU, more than 28 million people work through one (or more) of these digital labor platforms. By 2025, this number is expected to rise to 43 million. The EU is the first jurisdiction in the world to have proposed specific regulations for digital labor platforms.
The directive introduces two key improvements:
It helps determine the correct employment status of people working for digital platforms, and it regulates the use of algorithmic systems in the workplace at the EU level for the first time.
New EU Regulations on Platform Work
Employment Status
The new regulations could address cases of misclassification of platform workers and pave the way for these workers to be classified as employees, thereby facilitating their access to their rights as employees under EU law.
From a legal standpoint, workers would be considered employees of a digital platform (as opposed to self-employed individuals) if their relationship with the platform meets at least two of the five criteria set out in the directive.
These criteria are as follows:
Upper limits on the compensation workers can receive
Monitoring of their work performance, including by electronic means
Control over the distribution or assignment of tasks
Control over working conditions and restrictions on the choice of working hours
Restrictions on their freedom to organize their own work and rules regarding their appearance or conduct
According to the agreed text, Member States may supplement this list with additional criteria under national law.
Use of Algorithms in the Workplace
Digital work platforms use algorithms for workforce management. These systems are used to organize and manage workers who perform platform work through their apps or websites. Under the new regulations, workers must be informed about the use of automated monitoring and decision-making systems.
Furthermore, digital labor platforms will not be permitted to process certain types of personal data, such as:
personal data regarding the emotional or psychological state of platform workers
data regarding private conversations
data used to predict actual or potential union activities
data used to infer a worker’s race or ethnic origin, immigration status, political opinions, religious beliefs, or health status
biometric data, with the exception of data used for authentication
Under the new regulations, these systems must always be monitored by qualified personnel who are specifically protected against discrimination. Human oversight is also ensured for important decisions, such as the suspension of accounts.
Enforcement, Transparency, and Traceability
National authorities have difficulty accessing data regarding platforms and the individuals who work through them. This is especially true when platforms operate in multiple Member States and it is unclear where and by whom platform work is being performed.
This directive clarifies the existing obligations of digital labor platforms to report employment relationships to national authorities. The platforms are also required to provide national authorities with key information about their activities and the people working for them.
Further information and press photos of Christiane Benner
