'Sharing economy' must not allow exploitation of workers by distant tax-dodging tech firms, says TUC

2 June 2016

Responding to the European Commission's publication today (Thursday) of guidelines for people earning through 'sharing economy' companies, such as Uber and Airbnb, TUC General Secretary Frances O'Grady said:

“The sharing economy creates exciting new opportunities, but it has to be fair for all and not a free-for-all. Companies like Uber should not be allowed to dodge the responsibilities other employers have.

“Sharing economy companies cannot just take the money and run. They must provide decent working conditions for the people who create their profits. And they must pay their fair share of tax on profits and turnover.

“The EU guidelines are a good starting point because they make clear that sharing economy companies can be recognised as employers by member states. The UK must build on this to ensure every worker in the sharing economy gets a fair deal, full employment rights, the opportunity to join a union, and is not exploited by a distant tax-dodging tech firm.

“By taking action to ensure member states are looking after the interests of people working in the sharing economy, the EU is showing the benefits of a Remain vote to working people.”

NOTES TO EDITORS:

- In 2014/15 Uber paid just £22,134 tax on £866,000 profit in the UK – an effective tax rate on profits of just 2.6%.

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