Are e-hailing cab drivers employees or not? Nedlac is on a mission to find out

An exterior view of the headquarters of Uber in San Francisco. AP Photo/Eric Risberg, File

An exterior view of the headquarters of Uber in San Francisco. AP Photo/Eric Risberg, File

Published Jun 7, 2022

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A process under way at the National Economic Development and Labour Council (Nedlac) is looking into whether e-hailing taxi drivers should be classified as employees, Minister of Employment and Labour Thulas Nxesi says.

This was done as part of the attempts to regulate the e-hailing industry.

The determination that drivers were employees could result in labour regulations for the industry that has taken over urban communities by storm in recent years.

EFF MP Nontando Nolutshungu asked Nxesi via Parliamentary written questions whether he developed strategies to “ensure that those working in the (e-hailing) industry have their rights protected as workers”.

Nxesi replied: “… Nedlac social partners are hard at work in dealing with how to regulate the e-hailing industry.

“The first question that must be answered is whether Uber workers are employees and if they are employees, what conditions of employment are suitable to their sector as a way of introducing a sectoral determination,” he said.

“Albeit the above, kindly note that the national minimum wage covers all workers.”

Nxesi further pointed out to Nolutshungu that President Cyril Ramaphosa has set up a commission to look into the emerging digital economy.

“In dealing with the digital economy, the honourable member will know that the President has established a commission,” said Nxesi.

“Amongst the others, the commission is to assist the government in taking advantage of the opportunities presented by the digital economy.

“The work of the commission will be tabled at Nedlac for further discussion on how to come up with policies that will respond to the changes in the labour market.”

@BonganiNkosi87

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