WELLINGTON, Nov 17 (Reuters) - New Zealand's highest
court sided on Monday with a lower court's ruling that drivers
of Uber ( UBER ) who brought a case against the rideshare
company should be treated as employees, a decision that could
pave the way for collective bargaining.
The Supreme Court unanimously dismissed Uber's ( UBER ) appeal of a 2022
ruling by the Employment Court, which had said four Uber ( UBER ) drivers
were employees of the business rather than contractors.
The case had been brought by two unions on behalf of the four
Uber ( UBER ) drivers. Uber ( UBER ) had argued its drivers are independent
contractors using its platform, not employees.
The top court's decision could give Uber ( UBER ) drivers similar rights
to those in a number of countries, including the UK.
The Workers First Union said the Supreme Court's judgement
"paves the way for thousands of Workers First Union members to
pursue full employment rights, including restitution for
historic underpayment of wages and entitlements" and that it
would now be advancing collective bargaining.
Emma Foley, managing director of Uber Australia & New Zealand,
said in a statement the company was disappointed with the
decision as it casts significant doubt on contracting
arrangements across New Zealand.
"While the implications of this decision could be far-reaching,
for now this decision relates to only four drivers and delivery
partners, and Uber ( UBER ) and Uber Eats will continue to operate as
normal," Foley said.
Uber ( UBER ) had earlier challenged the lower court's decision in the
Court of Appeal. While rejecting Uber's ( UBER ) appeal, the appeals
court's judges had noted that whether a person qualified as an
employee was of "increased importance in light of growing
fragmentation, casualisation, and globalisation of work and
workforces in New Zealand."
They described the value of having employment status as "the
gate through which a worker must pass before they can access a
suite of statutory minimum employment entitlements, such as the
minimum wage, minimum hours of work, rest and meal breaks,
holidays, parental leave, domestic violence leave, bereavement
leave and the ability to pursue a personal grievance."
(Reporting by Lucy Craymer; Editing by Muralikumar
Anantharaman)