Uber misplaced a key courtroom ruling on Friday, which may damage its enterprise mannequin and transfer the inventory in one in every of its largest worldwide markets.
The U.Okay.’s Supreme Court has determined that drivers of the ride-hailing app needs to be categorized as staff, which suggests they’re entitled to vacation pay and the minimal wage.
In early premarket commerce, Uber shares fell over 3%.
The essential ruling has broad implications for the so-called gig economic system and will imply Uber
faces massive compensation claims.
The case in regards to the employment rights of Uber drivers is just like one delivered to the courts in California final yr.
It comes simply months after Uber gained an enchantment permitting it to proceed to function in London, its largest European market, over considerations about its security practices.