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22 June 2021 | Story André Damons
Gig economy and Uber
Left: Associate Prof Denine Smit is a lecturer in the Department of Mercantile Law, Faculty of Law, University of the Free State (UFS) where she currently lectures several modules with her focus on Labour Law. Right: Mr Grey Stopforth is a lecturer in the UFS Department of Mercantile Law, Faculty of Law.

Opinion article by Associate Prof Denine Smit and Mr Grey Stopforth, Lecturer, Department of Mercantile Law, Faculty of Law, University of the Free State 

Introduction
The modern world of work is changing rapidly – to such an extent that by 2030, 65% of primary school learners will take up positions currently unknown to man. ‘Gig work’ is an umbrella term comprising three distinct types of services: capital platform work, crowd work, and app work. (Duggan et al. 2019:117) ‘Gig work’, within the labour context, is regarded as an umbrella term comprising two distinct types of work: crowd work, and app work. Each of the previously mentioned types of gig work performs a particular service in the gig economy. To illustrate, crowd work refers to work that ranges in skills level and difficulty, which is outsourced to a large pool of online workers, for example, tasks available on Freelancer and Fiverr. In contrast, app work (also known as on-demand work) involves an application (app) that connects clients and workers via the online platform to perform tasks, also referred to as ‘gigs’, in a specific geographical area. This type of gig work consists of various types of tasks, such as ride-sharing services (e.g., Uber and Bolt), cleaning services (e.g., SweepSouth), and the running of errands (e.g., TaskRabbit and Errandworld). Uber currently serves more than 10 000 cities worldwide.  

The previous three industrial revolutions were prompted by disruptions that occurred through the harnessing of steam. The discovery of telecommunications and computers and technological advancements led to the internet of things, a typical characteristic of 4IR. It is in 4IR where the new techno-economic paradigm needs to be addressed. This is where robotic devices could replace humans. We now face two sides of the coin: working in a digitised environment where workers are not protected by traditional labour laws, such as Uber drivers, or seeking formal employment where there are not enough standard jobs.  

The changing landscape
The modern industrial workplace is already characterised by the introduction of several robotic devices that could easily replace human capital in the future. Examples hereof are rife:  Libby is a robot at the University of Pretoria that assists students. A social humanoid robot called Sophia, created with her ‘own’ passport, was interviewed on her own at the UN, and is regarded as our first digital citizen. We also have Deep Blue, an IBM computer that defeated the world's best chess player, and Watson, another IBM computer that beat the Jeopardy! champions, as well as robots that can now play the piano, grade high school tests, paint, compose music, and write newspaper articles. (Doci & Virgillito 2019: 602). A job for life and a physical workplace may both disappear in future and be replaced by gigs for payment, flexibility, and continuous learning. The COVID-19 pandemic fast-tracked 4IR, and this is becoming worrisome in South Africa, where we reached formal unemployment figures of 32,6% (7,2 million) and 42,6% (11,4 million) if discouraged work seekers are added to the mix. More critical, South Africa's youth unemployment rate is at a staggering all-time high of 74,7% (STATS SA, 5 April 2021). We need to look at new opportunities in the gig economy, like Uber, to earn a living and alleviate poverty.

Uber and work
Uber is merely an example of ‘work’ on the platform, but many gig workers are not protected by law. If we focus on the new categories of workers, such as those working for Uber, the legal landscape is exciting and problematic. However, problems have led to sporadic strike actions in several African countries such as Kenya, Nigeria, and South Africa.

In January 2021, Uber Eats drivers in South Africa laid down their 'tools' by deactivating their apps as part of a nationwide strike action in response to a decision taken by Uber Eats South Africa to lower the fee paid to drivers per delivery.  Later in March 2021, Uber and Bolt drivers from South Africa engaged in strike action, demanding that e-hailing companies adopt a fair pricing strategy, and that their own and their passengers' safety be prioritised. Other African countries followed suit shortly thereafter. In the past year, many app workers have brought court claims in different countries in the hopes of obtaining full employee status. Let’s see what happens in other countries.

United Kindom (UK)
On 19 February 2021, the Supreme Court in the UK ruled in Uber BV v Aslam (2021) UKSC 5 that Uber drivers are ‘workers’ rather than self-employed independent contractors. The court outlined several key factors to justify its decision, most of which relate to the degree of control that Uber has over its drivers. Based on this, the court found that drivers were, in reality, ‘workers’ and not independent contractors, which implies that they are legally protected.

Australia
A recent decision by Australia’s Fair Commission (FWC) in Diego Franco v Deliveroo Australia Pty Ltd (2021) FWC 2818, could impact Uber’s operation in the country in the future. On 18 May 2021, the commission ruled that a former Dilveroo driver was an employee of Deliveroo rather than an independent contractor. The FWC emphasised the importance of standing back from the detailed picture and looking at the overall effect of the relationship. Similar to the UK ruling, the FWC also noted that Deliveroo was able to implement or withdraw a significant level of control over Mr Franco, which was a decisive factor indicating the existence of an employment relationship. Having considered the facts, the FWC found the driver to be an employee of Deliveroo, and he was therefore entitled to unfair dismissal protection. Whether this decision will stand in the future remains to be seen, as Deliveroo has indicated that it will appeal the FWC's decision.

United States of America (USA)
Similar to many other countries, the USA also has several cases with mixed judgements. For the purpose of this opinion piece, we will single out Proposal 22 (Prop 22), which was passed in California at the end of 2020. The Prop provides drivers with a guaranteed minimum earning for the time worked while actively providing rides, compensation for some vehicle expenses, occupational accident insurance to cover injuries and illnesses on the job, and ‘funding for new health benefits’ that apply to drivers with prescribed minimum hours per week.

Spain
A new royal decree regulating delivery app workers, also known as the ‘rider law’, was ratified by Spain's cabinet in March 2021. The new ‘rider law’ introduces additional provisions for a new presumption regarding the existence of an employment relationship in the context of the delivery and distribution of products through digital delivery platforms. The decree also makes it mandatory for gig businesses to inform the app workers’ legal representatives of the parameters, rules, and instructions on which the algorithms or artificial intelligence (AI) systems are based, which affect decision-making that may influence working conditions, access to, and maintenance of employment, including profiling. The law comes into effect 90 days following its publication in the Spanish Official Gazette. The gig businesses, therefore, have until mid-August to comply.

The way forward for South Africa
It is currently uncertain whether South Africa’s Uber drivers will be classified as employees or independent contractors. See Uber South Africa Technology Services (Pty) Ltd v National Union of Public Service and Allied Workers (NUPSAW) and Others (2018) 39 ILJ 903 (LC), in which the Labour Court held that the Commission for Conciliation, Mediation and Arbitration’s ruling failed to consider the fact that Uber SA and Uber B.V. are two separate entities. The question as to whether Uber drivers are employees of Uber was subsequently left unanswered. Each country has a unique and intricate statutory framework that regulates the traditional work relationship, making a universal approach to classifying on-demand workers almost impossible. However, it would be in our best interest to be mindful of these developments to pursue a workable solution that fits our South African context.

Thus, the jury is still out on whether gig work is good, bad or a little of both.

News Archive

New South African literature festival offers something for everyone
2016-03-23

The University of the Free State (UFS) in partnership with the Vrystaat Arts Festival is proud to present the first literature festival in central South Africa from 11-16 July in Bloemfontein. Afrikaans books and writers will feature prominently, in addition to other indigenous languages such as Sotho and Zulu. Several authors will be celebrating literature in English.

Vice-Chancellor and Rector of the University of the Free State Professor Jonathan Jansen says:  ‘The aim of the festival, part of the bigger Vrystaat Arts Festival, is to strengthen a culture of reading, not just in the Free State but nationally. The festival will market books as well as embrace new developments in the field of writing. I am incredibly excited about this inaugural event, which the university will support in the long-term.’

The theme of this year’s literature festival is ‘Our Africa’ and promises to provide all booklovers and readers tantalizing food for thought. Some of the authors attending the festival include, amongst others, the Hertzog-prize winner Adam Small, celebrating his 80th birthday as well as the release of his latest drama. Another legendary writer, dramaturge and actor, John Kani, will be speaking at the festival about his most recent theatre productions. The ever popular Marita van der Vyver will be visiting the festival from France, and the highly acclaimed writer Zakes Mda, will be flying in from the United States to deliver the inaugural Sol Plaatje Lecture. Mda, also a visual artist, will have some of his works on display.

Other international guests include Chika Unigwe, originally from Nigeria, who rose to fame in Belgium, and was described by South African writer Zukiswa Wanner as one of the five most renowned writers from Africa. Also attending will be Iranian writer Kader Abdolah, whose novels have been translated into more than 21 languages. Abdolah, a political refugee who escaped from Iran to the Netherlands in the 1980s, went on to establish himself as one of the most prominent Dutch novelists. Wilfried N’Sondé, originally from the Congo, who now lives in France, will also be a festival guest.
 
Theo Kemp, Coordinator of the Literature Festival says: ‘It is critical for us that robust debates on current affairs takes place as part of the festival. Festival participants will be able to engage with a range of authors on topical and sometimes sensitive issues. We welcome this debate – it is rare to have a platform where we can argue passionately yet respectfully about the future of our country in an international context.’

Critical topics covered include themes such as the state of Africa’s economies (with analyst and writer Victor Kgomoeswana); the relevance of the Anglo-Boer War in contemporary society (with Albert Blake and Johan Kruger); philosopher Achille Mbembe talking with Kevin Bloom and Richard Poplak about the changing face of Africa; and the political analysts Susan Booysen and John Matisonn examining the South African landscape in a post-municipal election environment.

Theuns Eloff, previous Rector of the University of Potchefstroom, whose new book What now, South Africa is launched this year, will partake in discussions around current affairs. So to Melanie Verwoerd and Sonwabiso Ngcowa aim to explore the phenomenon of the so-called ‘born frees’ in their book 21 at 21: The Coming of Age of A Nation.

Climate change and its impact on the Free State’s environment is another critical topic covered by Bob and Mary Schole with their book launch of Climate Change: Briefings from Southern Africa.

Festival goers can also look forward to a poetry café, where music and poetry will be mixed; informal visits with writers around food and story telling; as well as word and music productions where popular travel writers such as Johan Bakkes, Dana Snyman, Erns Grundling and Pienkes du Plessis will be present.

Writers will also be involved in a range of panel discussions – including on the ethics of writing biographies (Lindie Koorts and Mark Gevisser); alternative narratives of South Africa in the eighties (Ivan Vladislavic and Johann Roussouw); and discussions with writers such as Hans du Plessis, Bernard Odendaal, Hanlie Retief, Rudie van Rensburg and Irma Joubert.

Workshops will also feature in the programme with writers such as Francois Smith and Henning Pieterse, associated with the Department of Afrikaans and Dutch at the UFS, offering short courses on creative writing; while Johann Roussouw from the Department of Philosophy at the UFS will present a series of talks on the books of Karel Schoeman.

The final festival programme will be launched on 28 April 2016.

The Vrystaat Literature Festival was initiated by the University of the Free State in partnership with the Vrystaat Arts Festival. Project sponsors include Media24, ATKV, Vlaamse Letterenfonds, Institut Francais, Nederlandse Letterfonds, Van Rensburg Pataloe and the Flemish Embassy.
 

For further enquiries contact:

Theo Kemp
theo.kemp@volksblad.com
+27(0)83 462 9613
www.vrystaatartsfestival.co.za

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