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Gig economy takes another blow as delivery giants lose landmark tribunal case

25 Jun 2018

 

One of Britain's biggest delivery firms Hermes, has lost its battle against 65 couriers who claim they should be treated as staff not self-employed workers.

This sees the second big firm in as many weeks lose such a court case in The so-called "battle against the gig economy" after Pimlico Plumbers lost a similar case against a former worker who had a heart attack.

Hermes employs 14,500 drivers who are treated as self employed workers even though they are expected to do a minimum number of hours and often use company vans.

A landmark tribunal has now ruled that the 65 drivers should benefit from the perks of employed staff including holiday and sick pay, along with paid breaks.

Hermes deliver packages for huge companies including Next, John Lewis, River Island, Topshop and Asos.

The GMB union who represented the 65 delivery drivers has said this is another triumph against the bogus "self-employment" status used by companies operating within the realms of the so-called gig economy.
 

Now other companies such as Deliveroo and ride-hailing giants Uber could be forced to change their business models to accommodate its workers with all the benefits which come with being employed as staff.

According to a report in the Daily Mail , a spokesperson for Hermes has said the company is likely to appeal the decision.  

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