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‘JUST TRANSITION’: ADCU calls for lifetime basic income for private hire drivers as autonomous vehicle rollout accelerates
The App Drivers and Couriers Union (ADCU) has called for a lifetime Basic Income for private hire vehicle drivers whose livelihoods are affected by autonomous vehicles, saying the payments should be funded by app companies and autonomous vehicle operators.
The union describes the proposal as the centrepiece of a “Just Transition” for drivers.
ADCU says it has no confidence in app companies, regulators, lawmakers or government to protect drivers from the effects of automation. It is calling for a guarantee for drivers currently working on app platforms, a Just Transition Fund funded by companies licensed to operate autonomous vehicles in the UK, and an immediate halt to new private hire vehicle licences in London.
The call follows a critical report from the London Assembly Transport Committee and comes as the union plans to protest against Uber’s Wayve driverless cars.
The union argues that the potential impact on London’s public finances and local economy would be substantial if all 113,166 licensed private hire drivers had to claim Universal Credit. ADCU estimates the resulting annual welfare bill would approach £3 billion. It also estimates £3.4 billion in lost earnings and around £6.8 million in lost tax revenue. These figures are the union’s estimates and relate to the scenario it describes.
ADCU’s warning comes as self-driving Pony.ai cars operated by Uber are reported to be under consideration for Manchester. In London, the union says, autonomous vehicle pilots are already under way. It argues that the benefits of large-scale deployment may flow mainly to app companies, while the technology’s data infrastructure is managed outside the UK.
ADCU General Secretary Cristina Ioanitescu said: “We no longer have any faith that the app companies, regulators or government will ensure a Just Transition for drivers.”
She said many drivers would face barriers to moving into other work, adding: “Most of our drivers are over 40. Many don’t speak English as a first language, and will struggle to secure suitable alternative employment. We want a Basic Income set at full loss of average earnings. That is what Just Transition means. Living wages. Not CV writing classes, funding for night school courses or job counselling.”
Ioanitescu said the union believes companies benefiting from automation should cover the cost of supporting displaced workers. “The same app companies that are generating vast profits and doing everything in their power to minimise their tax liabilities in the UK have more than enough money to compensate the drivers they are looking to replace,” she said.
“They should pay for the Just Transition, and offset the impact on the UK’s economy and welfare bill, out of their untaxed profits. Not drivers. And not UK taxpayers.”
The union’s proposal would require a funding mechanism and decisions on eligibility, payment levels and duration. Its call for an immediate freeze on new London PHV licences also links the current growth in driver numbers to the prospect of future automation, which it says could deepen hardship for workers.
