Over 12,000 Bolt Drivers Take Cab Company to Court Over Employment Status and Unpaid Holiday Pay

Bolt, an Estonian-based ride-hailing company, is currently in the employment tribunal facing questions concerning gig economy workers’ rights. Legal proceedings commenced after thousands of Bolt drivers claimed they’d lost essential rights due to their employment status being misclassified. Read on as we highlight the facts of the tribunal claim. We will outline why it’s essential to get employment classifications correct and what to do if yours isn’t.

If you’ve any questions after reading about the Bolt claim or believe your employment has been incorrectly classified, contact us. Redmans Solicitors are employment law specialists, and with our experience, we can provide expert advice to help find a solution.

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Bolt Drivers Claim Workers’ Rights Entitlement

On Wednesday, 11 September 2024, Bolt drivers began to argue their case regarding gig economy workers’ rights in the Central London Employment Tribunal. The tribunal claim centres on a dispute concerning whether the cab company’s drivers are workers or self-employed contractors.

Currently, Bolt asserts that the drivers are self-employed. However, over 12,000 drivers disagree, claiming that they ought to be classified as workers due to the company’s significant degree of control over their work conditions and terms.

This distinction is essential, as it dictates the UK employment rights the individuals are entitled to. If the Bolt drivers are classified as workers, they would be entitled to rights such as holiday pay and the National Living Wage. Yet, because they’re currently classed as self-employed, they aren’t able to enjoy such rights.

This claim follows a similar case involving Uber and its drivers in 2021. In that case, the Supreme Court ruled in favour of the Uber drivers, finding that the individuals were workers and thus had associated rights entitlements.

If the Bolt drivers succeed with their claim, the ride-hailing service will be obligated to provide them with their worker rights. The drivers will also seek compensation for the unpaid entitlements they previously didn’t receive. 

Proceedings will last three weeks, and we will await the tribunal’s judgment to find out more. Should the drivers win their case, it could prompt further employment law changes to strengthen gig economy workers’ rights. This would likely be welcomed by many, especially after a CIPD report found that those from ethnic minorities or with disabilities are the ones who rely on such work the most. Consequently, better protection could be another significant step toward greater equality.

Understanding UK Employment Rights: Key Classifications and Their Impact

Employment classification is at the heart of the Bolt claim, an essential concept that dictates an individual’s entitlements. Getting it wrong could have significant consequences, potentially depriving individuals of crucial rights like the National Living Wage. Hence, the Bolt drivers are bringing legal action.

Although there are many types of employment status in the UK, three are most common: “employee”, “worker”, and “self-employed”. Employee rights are the most comprehensive, providing individuals with unfair dismissal protection, statutory redundancy pay entitlements, and the right to request flexible working, to name a few. Such individuals work under an employment contract and typically experience the highest level of job security and stability.

Workers enjoy a more limited selection of rights compared to employees. That said, they still have entitlements like statutory holiday pay and workweek limits. In addition, these limited rights surpass the entitlements of a self-employed individual, who has very limited legal protection. A worker’s status is intended to offer a baseline of protection for those who have less obligation to their employer than employees but still have some work conditions.

Finally, there are the self-employed individuals, who are afforded the lowest amount of rights. This is generally because they aren’t integrated into a company and have the highest degree of autonomy over their work. Such individuals would be responsible for their own taxes and National Insurance contributions.

When an individual’s employment status is being determined, several factors will be considered. For the Bolt drivers, the level of control the company has over their work forms the basis for their argument.

To learn more about employment status classifications, read our complete article.

Get Help with Redmans Solicitors

Having one’s employment misclassified could mean missing out on key rights like maternity or paternity leave and statutory holiday pay. It could also mean they don’t believe they have protection from unfair dismissal when they do. In any event, employers must get this classification correct, as failing to do so could leave them open to employment tribunal claims.

If you have any questions about the Bolt drivers’ claim or think your rights have been breached, please reach out to us. At Redmans Solicitors, our employment law experts are here to assess your situation and provide tailored advice. After a brief consultation, we’ll evaluate your case, determine your eligibility for compensation, and guide you through the process to ensure you receive the justice you deserve.

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