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UN adopts treaty setting standards for gig economy workers

UN adopts treaty setting standards for gig economy workers

Summary

The United Nations’ International Labour Organization has approved the first global agreement to set job rules for gig economy workers, such as food delivery and taxi drivers using apps. This agreement aims to give these workers protections like minimum wage, healthcare, and social security, which many currently lack because they are classified as independent contractors.

Key Facts

  • The International Labour Organization (ILO) adopted the Decent Work in the Platform Economy Convention at its 114th conference in Geneva.
  • The agreement covers digital platform workers worldwide, whether in formal or informal jobs.
  • It requires ending the classification of gig workers as independent contractors to ensure they get labor rights.
  • Protections include minimum wage, healthcare, sick leave, and social security contributions.
  • 406 ILO members voted in favor, 8 voted against, and 36 abstained from adopting the agreement.
  • The ILO includes governments, employers, and worker representatives.
  • The World Bank estimates up to 435 million app-based gig workers globally in 2023.
  • Although the ILO cannot enforce the agreement directly, countries that adopt it must follow its rules and individuals may gain legal rights against gig platforms.
  • Employers' groups welcomed the framework’s flexibility, allowing different countries to set employment status by their own laws.
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