Fairwork Belgium Ratings 2022: Labour Standards in the Platform Economy
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2 | Fair work Belgium Ratings 2022 Executive Summary The growth of the platform economy in Belgium, although less rapid than in its neighbouring countries, has triggered heated debates around workers’ legal classification and their protection. The structures for collective employment regulations and strong trade unions under the Ghent system provide some protections for workers, but in the specific context of the platform economy, they do not always translate into fairer working conditions. The lack of guaranteed minimum wage and social security coverage for self-employed workers in the platform economy results in underpaid and unpaid labour. Falling outside the scope of collective sectoral agreements, platform work is also linked to lack of job protection and lack of collective voice. This study by the Fairwork Belgium team sheds light on the working conditions of platform workers and makes practical suggestions for improving them. This report presents the first set of a large variability in the fairness platform (Takeaway) could Fairwork ratings for Belgium, and of the work offered by digital evidence that they offer establishes a baseline for the country’s platforms in Belgium. Only two protection against work-related platform economy that will be updated platforms achieved higher scores risks and incapacity to work. on a yearly basis. Five platforms in (Ring Twice: 4, and Takeaway: 6), Although a basic insurance the food delivery, care, and domestic while others failed to evidence scheme is available on both Ring services sectors were evaluated that basic standards of fairness Twice and Deliveroo, they could against five Principles of Fairwork, and are met. not be awarded the point as they given a score out of ten. fail to offer a ‘work accident’ � Fair Pay: Only two platforms insurance, covering only peer- The scoring process involved desk (Takeaway and Ring Twice) could to-peer workers (Ring Twice), research, interviews with platform show that they guarantee their or their insurance coverage is workers to gather insights into their workers at least the minimum insufficient, not covering material work experiences and working wage after costs. Ring Twice, costs (damage to phones, bikes), conditions, and interviews with which relies on self-employment and lacking a motor vehicle platform managers to gain knowledge and peer-to-peer worker insurance (Deliveroo). Other on platforms’ operations and evidence statuses, sets ‘technical minima’, platforms could not show that for each of the Fairwork principles. i.e. a wage floor for each of the they provide workers with an Final scores were collectively decided occupations available on the effective safety net. by the Fairwork Belgium team, based platform. Takeaway, on the other on all three forms of evidence and hand, hires its couriers (whether � Fair Contracts: Three platforms reviewed by Fairwork researchers from as direct employees or through (Deliveroo, Ring Twice and other country teams. temporary work agencies) and Takeaway) could evidence therefore follows minima set that they provide terms and by sectoral agreements. There conditions in a clear, transparent Key Findings continue to be many workers on and accessible form. Of these, other platforms that take home only Takeaway’s terms proved less than the hourly minimum to genuinely reflect the nature � The five platforms we evaluated wage after costs. of the relationship between achieved scores ranging from the platform and its workers. zero to five out of ten, showing � Fair Conditions: Only one In the case of the other
Labour Standards in the Platform Economy | 3 platforms evaluated, there is a for decisions affecting workers. but the platform could not be need to implement changes in Moreover, only Ring Twice awarded the point as it did not their contracts and establish provided evidence of ensuring evidence any willingness to relationships with workers equity in the management recognise, or bargain with, a that are in line with national process. Thus, more efforts trade union. As for Ring Twice regulations. are needed to improve fair and Takeaway, evidence of solid management on platforms. relations with national trade � Fair Management: Although unions was deemed insufficient all platforms reviewed have � Fair Representation: None of the to award the point. Findings on communication channels evaluated platforms fully met the this principle point to the fact that allowing workers to interact with principle of fair representation. most Belgian platform workers a human representative, only Deliveroo evidenced the recent have little or no influence over two (Ring Twice and Takeaway) establishment of an internal the decisions that impact their evidenced effective due process workers’ representation body, jobs. Stefan Lambauer / Shutterstockwork
4 | Fair work Belgium Ratings 2022 Fairwork Belgium Scores 2022 Score (out of 10) Takeaway 6 Ring Twice 4 Deliveroo Top Help Yoopies * The breakdown of scores for individual platforms can be seen at: https://fair.work/bel
Labour Standards in the Platform Economy | 5 Editorial: Asking Respect and Fair Conditions for Platform Workers The growth of the platform economy in Belgium has spurred heated debates around workers’ legal classification and ensuing protection. Some platform workers, such as Deliveroo couriers, have mobilised to protest against the unfair social conditions, the long unpaid waiting time and the lack of communication and respect they receive from the platform management they work for, as well as from restaurants and customers. Fairwork Belgium aims to shed light on the working conditions of platform workers and make practical suggestions for improving them, in order to enhance respect and dignity of workers. The Fairwork project, after launching The analysis we present in this report and communication channels; and in India and South Africa in 2019, has is founded upon five core principles whether workers are able to express expanded its research activities to of fair platform work: Fair Pay, Fair themselves collectively through open 26 other countries since - last year Conditions, Fair Contracts, Fair worker representation. to Belgium. The research group on Management, and Fair Representation. Employment (Industrial) Relations Each principle is divided into two We have assessed evidence against and Labour Market at the Centre for thresholds. We have awarded scores each of these Fairwork principles Sociological Research (CESO) at the out of 10 to a platform based on through a combination of desk KU Leuven, together with the Oxford whether they meet the basic threshold research, interviews with platform Internet Institute (OII) at the University (1 point) and then achieve the higher workers, and semi-structured of Oxford, are now implementing the threshold (1 additional point) for each interviews with platform managers in Fairwork rating scheme in Belgium. We of these five principles. The first two Belgium. We acknowledge that, due are particularly grateful for the support principles concern whether workers to the dynamic nature of the platform of both the European Research Council receive a fair pay for their work and if economy and data confidentiality, (ERC) to the ResPecTMe project (under health and safety rules are followed. reliable information can be difficult the European Union’s Horizon 2020 The three other principles focus on to obtain. We have therefore only research and innovation programme whether the platform has engaged awarded a point when there was clear Grant agreement n° 833577) and the in a fair contractual agreement with and sufficient evidence in support of Flemish Research Council (FWO – workers; whether there are clear and a principle. This means that, in cases Grant agreement funders G073919N). transparent management processes where platform management was not
6 | Fair work Belgium Ratings 2022 available to engage with us, we scored This report examines what these Addressing these gaps is crucial, on the basis of evidence collected costs may look like on the ground. For in particular in the context of the through worker interviews and desk example, payment for tasks may not challenges brought about by the so- research. always acknowledge a worker’s entire called “fourth industrial revolution” temporal and financial investment in (i.e., the fundamental changes in Our findings indicate that while undertaking it—effectively lowering society, organisations and labour Belgium—which is characterised by their hourly earnings. This is partly markets being driven by developments relatively encompassing structures for because of the lack of guaranteed in digital technology and data), and collective employment regulations and minimum wage, as well as social the widespread introduction of AI in strong trade unions under the Ghent security coverage for workers working labour settings. Platform work should system—provides some protections for as own-account workers within the be considered as part and parcel of the workers, this does not always translate platform economy. To provide an political agenda on the digitalisation of into fairer working conditions in the example, workers using platforms to the Belgian economy: the operations of platform economy. This discrepancy is access household-related and personal some of the platforms reviewed in this perhaps not a surprise, given the recent care jobs (via Yoopies and Top Help, for report are, after all, not so distant from attempts by the national government example) invest a significant amount the way e-commerce and other highly to welcome new actors in the labour of time in job search and applications, digitalised logistics services manage market that can promise positive with no guarantee of paid work as their workforces, for example in employment effects through the a result. Furthermore, as labour supermarket collect-and-go systems. activation of categories of workers who platforms often fail to adapt to Belgian Identifying the similarities across have so far relied on welfare support, national regulatory regimes, platform innovative modes of work makes it regardless of the working conditions jobs tend to fall outside the scope of possible not only to guide policymaking they implement. collective sectoral agreements, with towards coherent reforms to tackle severe repercussions on working the challenges posed by the rapid Our research shows that thinking conditions, exposing workers to wage pace of technology development, but along these lines may lead to dumping, lack of job protection, it will also enable workers to regain an overestimation of the value and barriers to access to voice autonomy and voice to ensure the produced by platform work and an mechanisms. social sustainability of the economy of underestimation of its social costs. the future. Fairwork Belgium team Valeria Pulignano Claudia Marà* / Milena Franke* Markieta Domecka Alessio Bertolini Mark Graham *These co-authors have equally contributed to the report.
Contents 02 Executive Summary 05 Editorial 08 The Fairwork Framework 10 Background: Overview of the Belgian Platform Economy 13 The Legal Context 15 Fairwork Scores 18 Platform in Focus: Ring Twice 20 Workers’ Stories 21 Theme in Focus: Deregulation, Informality and Unpaid Work in Care Platforms 23 Moving Forward: Pathways of Change 26 Appendix I: Fairwork Scoring System 31 Credits and Funding 33 Endnotes
8 | Fair work Belgium Ratings 2022 01 The five principles Fair Pay Workers, irrespective of their employment classification, should earn a decent income in their home jurisdiction after taking account of work-related costs. Fair Conditions Platforms should have policies in place to protect workers from foundational risks The arising from the processes of work, and should take proactive measures to protect and promote the health and safety of workers. Fairwork Fair Contracts Terms and conditions should be Framework transparent, concise, and provided to workers in an accessible form. The party contracting with the worker must be subject to local law and must be identified in the contract. Regardless of the workers’ employment status, the contract must be free of clauses which unreasonably exclude liability on the part of the platform. Fairwork evaluates the working conditions at digital labour Fair Management platforms and ranks platforms There should be a documented process through which workers can be heard, can on how well they do. Ultimately, appeal decisions affecting them, and be informed of the reasons behind those our goal is to show that better, decisions. There must be a clear channel of communication to workers involving the and fairer, jobs are possible in the ability to appeal management decisions platform economy. or deactivation. The use of algorithms is transparent and results in equitable outcomes for workers. There should be an identifiable and documented policy To do this, we use five principles that digital platforms should that ensures equity in the way workers comply with in order to be considered to be offering ‘fair work’. are managed on a platform (for example, We evaluate platforms against these principles to show not only in the hiring, disciplining, or firing of what the platform economy is, but also what it can be. workers). The five Fairwork principles were initially developed at a multi- stakeholder workshop at the International Labour Organisation, followed by workshops for local stakeholders. These workshops, Fair Representation and our follow-up conversations with platform workers, Platforms should provide a documented platforms, trade unions, regulators, academics, and labour process through which worker voice lawyers, allowed us to revise and fine-tune the principles, as well can be expressed. Irrespective of their as to ensure that they were applicable to our national context. employment classification, workers should have the right to organise in Further details on the thresholds for each principle, and collective bodies, and platforms should be the criteria used to assess the collected evidence to score prepared to cooperate and negotiate with platforms can be found in the Appendix. them.
Labour Standards in the Platform Economy | 9 02 Methodology overview The project uses three approaches to effectively measure fairness at work. Desk Research The process starts with desk research to ascertain which platforms are operating in each city, as well as noting the largest and most influential ones. In Belgium, we focused on platforms operating all over the country. This research provides the overall range of the platforms that either through the platform directly are ranked, as well as identifying points or at known worker meeting points. of contact or ways to access workers. These interviews do not aim to build Desk research also flags up any public a representative sample; they instead information that could be used to score seek to understand the processes particular platforms (for instance, of work and the ways it is carried the provision of particular services to out and managed. They allow us, for workers, or ongoing disputes). example, to view contracts and learn about platform policies that pertain to workers. The interviews also allow the Platform Interviews team to confirm or refute that policies 03 or practices are really in place on the The second method involves platform. How we approaching platforms for evidence. We interview platform managers and score request evidence in support of each of Putting It All Each of the five Fairwork principles the Fairwork principles. This provides insights into the operation and business Together is broken down into two points: a basic point and a more advanced model of the platform, while also This threefold approach provides a point that can only be awarded if the opening up a dialogue through which means to cross-check the claims made basic point has been fulfilled. Every the platform could agree to implement by platforms, while also providing the platform receives a score out of 10. changes based on the principles. In opportunity to collect both positive Platforms are only given a point when cases where platform managers do not and negative evidence from multiple they can satisfactorily demonstrate agree to interviews, we limit our scoring sources. Final scores are decided their implementation of the principles. to evidence obtained through desk collectively by the Fairwork team Failing to achieve a point does not research and worker interviews. based on all three forms of information necessarily mean that a platform gathering. The scores are then peer does not comply with the principle reviewed by the country team, the in question. It simply means that we Worker Interviews Oxford team, and two reviewers from are not—for whatever reason—able to The third method involves interviewing other country teams. This allows us evidence its compliance. The third method involves interviewing to ensure the consistency and rigour of the scoring process. Points are only Further details on the Fairwork platform workers directly. We aim for a awarded if clear evidence exists for each Scoring System are in the Appendix. sample of 6-10 workers interviewed at each platform. Workers are approached thresholdon each threshold.
10 | Fair work Belgium Ratings 2022 Background: Overview of the Belgian Platform Economy One key feature of the platform economy in Belgium is the heterogeneity of platform work and its workforce. Platform work here tends to be occasional, often supplementing other earnings2. However, platform work can represent a significant source of income for a growing share of workers, especially in some sectors like food delivery3. Recent representative data on the numbers and composition of the Belgian platform workforce is currently lacking, but data from surveys conducted in other European countries seem to support this pattern. The European-wide COLLEEM survey and the ETUI internet and platform work survey report substantial heterogeneity in terms of earnings, education, age and gender, and the share of income earned and number of hours worked on platforms4. In comparison to other economies, other countries in the study. The ING below the European average of 17%. for instance the UK, in Belgium the data were confirmed by the 2016 Flash However, in the last five years, the platform economy has been a relatively Eurobarometer, which found that only use of digital platforms in Belgium small phenomenon within the broader 8% of the Belgian population had used has risen rapidly. The 2018 Flash economic context. An ING international a service provided on a collaborative Eurobarometer reported a significant survey conducted in 2015, which economy platform in 2016. This was increase in Belgians’ use of platform surveyed 14,829 individuals in 15 well below the participation rate seen services in only two years, surging countries including Belgium, found that in its neighbours France (36%) and by 10 percentage points to 18% of the size of the platform economy was Germany (20%). In 2016, Belgium’s the Belgian population declaring very limited when compared with the participation rate was also well having used a service provided on a
Labour Standards in the Platform Economy | 11 collaborative economy platform (in services in Belgium (Figure 1), with continued to grow in Belgium, with two comparison, the European average the transport sector (36%) and food- of the main active platforms—Deliveroo increased by 6 percentage points related services (35%) being most and Takeaway—currently deploying between 2016 and 2018). popular, and household services trailing around 3,000 couriers each. In 2020, at a fair distance below (11%). In the Deliveroo doubled its turnover, while The 2018 Eurobarometer also reports aftermath of the first wave of pandemic Takeaway grew 50% and doubled its the sectors of highest use of platform shocks, the food delivery sector has workforce in Belgium5. Figure 1 Platform use in Belgium (2018)6 In which of the following sectors have you used a service offered via a collaborative platform? (multiple answers possible) 0% 5% 10% 15% 20% 25% 30% 35% 40% Transport (e.g. car sharing) Food-related services (e.g. home delivery, food… Household services (e.g. gardening, repairs, child… Collaborative finance (e.g. peer-to-peer lending… Professional services (e.g. IT services, accounting) Other Finally, when looking at the share of of the platform economy in Belgium regional platforms—that is, platforms may be explained by looking at the that originated in Belgium7 —we see institutionalized character of the that Belgium follows the pattern of country’s digitalisation strategy. As part other EU countries, with the number of the Belgian tripartite social dialogue of locally born platforms being less than half of all platforms active in system, trade unions have been actively involved, together with the “The high turnover the country8. However, in Belgium VBO-FEB (employers’ organisation), in of the sector has a number of local platforms have the development of the government’s reached substantial success, including digitalisation and artificial intelligence left space for the Ring Twice (formerly Listminut), a pioneering platform in the provision strategies. The ‘Digital Belgium’ strategy outlines the digital long-term entrance of a of a wide range of household services, the first Belgian platform to be officially vision for the country and sets out five priorities: digital infrastructure, vulnerable migrant accredited on the governmental list of digital confidence and security, digital workforce that often platforms (more on this list in the next skills and jobs, digital economy, and section). Founded in 2013, it grew to digital government. While the strategy goes undetected due 6,000 service providers and 10,000 users in 20189 and up to 36,000 doesn’t dwell much on platform work, the involvement of the trade unions to undocumented service providers and 40,000 users in 202110. in shaping the programme has been useful in order to voice and understand status.” worker requests while attempting to These trends in the size and nature
12 | Fair work Belgium Ratings 2022 regulate the emerging digital economy. might have been in the past. Since the delivery sector has proven difficult, The trade unions’ social ties to the rank first workers’ collective actions in the however, due to the changing and file has allowed the identification Belgian food delivery platform sector in composition of the workforce. In of the most-needed digital skills, and 2017, both the main confederal unions the first phase of delivery platforms’ the conveying of workers’ requests to in Belgium, namely the ACV/CSC and expansion, couriers were primarily the government and employers in the the ABVV/FGTB (Socialist trade unions young students with ‘sceptical’ dialogue11. In addition, in June 2019, confederation), have been supporting attitudes towards trade unions12, in the ACV-CSC (Christian trade union the claims of the local couriers’ line with those of their peers outside confederation) announced the creation movements, and in particular the the platform economy13. In more of a new category (United Freelancers) Brussels-based Collectif des coursier- recent times, the high turnover of the within their organisation in order to e-s/KoeriersCollectief (couriers’ sector has left space for the entrance include independent workers, on the collective). of a vulnerable migrant workforce claim that many new self-employed are that often goes undetected due to far from being the ‘petit patron’ they The unionisation of the Belgian food undocumented status14. Werner Lerooy / Shutterstockwork
Labour Standards in the Platform Economy | 13 The Legal Context Which ‘Employment Status’ in the Platform Economy In Belgium, the classification of workers is decided on a case-by- case basis, depending on the factual elements indicated by the law. If workers have sufficient freedom to organise their work and their working time, and are not subject to a hierarchical authority, they will be regarded as self-employed15. That said, a number of exceptions are introduced by the law with regard to sectors such as construction, security, transportation, cleaning, agriculture and horticulture. Based on these legal assumptions, tax rate of 10.7%; in comparison, employment and informal/undeclared most platforms in the platform regular workers earning up to 9.050€ work. economy in Belgium have classified are exempted from taxation, and their workers as self-employed. above that threshold the applicable Ever since the introduction of the The possibility to do so has been tax wedge starts at 25% and climbs to peer-to-peer status, thousands of reinforced by the national government 40%. In 2018, the government further platform workers in food delivery, ride introducing dedicated legislation lowered taxation on revenue from hailing, care and household services, on digital platforms in the hope of platform earnings to zero, a measure have been classified under this encouraging the development of the which the Belgian Constitutional Court regime. However, the governmental platform economy, as well as citizens’ deemed unconstitutional in 202016. intervention to regulate the platform participation as users, workers and Hence, in February 2021 taxation on sector through the introduction of this entrepreneurs. In particular, the 2016 the P2P status was restored to 10.7%. ad hoc reform of employment has De Croo Law assimilated platform Importantly, extant legislation requires exacerbated the polarisation between work to the broader category of digital platforms to be accredited in the traditionally ‘protected’ dependent ‘collaborative economy’ jobs, alongside a national directory, managed by the workforce (including standard and voluntary work, and created a specific Ministry of Finance, in order for their non-standard employees) and a status, i.e. the peer-to-peer status workers to benefit from the peer-to- growing population of unprotected (P2P), which benefits from significant peer status. To date, this list includes and independent (self-employed) tax exemptions, while disregarding about 100 digital platforms, with workers –including those with the new access to social security schemes. many more operating without this P2P status. A dualism is becoming Workers under this status are recognition. In this case, platforms increasingly visible in the Belgian exempted from paying social security rely on a traditional employment context, where the former can rely on contributions and are allowed to classification—such as in the case of fairly good levels of income guarantees earn up to a yearly amount of €6,390 the food delivery platform Takeaway, and access to social security, while (2021, indexed) with an applicable or more often, on regular self- the latter act in a realm of increasing
14 | Fair work Belgium Ratings 2022 income insecurity and insufficient being summoned before the Labour This temporary solution should be employment protection17. The peer- Court in January 2020. In December applicable until July 2022, when the to-peer status also risks undermining 2021, a first decision declared that Brussels government is planning to the long-standing Belgian system Deliveroo riders may work for the establish a new judicial framework. of sectoral collective bargaining, as platform as self-employed (but not as workers with the peer-to-peer status peer-to-peer). An appeal by the Public As we can see, the legal status of are allowed to carry out tasks that Prosecutor is now ongoing against this digital platforms and platform workers are generally provided by regular decision; the final result is expected in Belgium is far from being settled. employees covered by national end of 2023. In 2021 the Federal Government collective agreements, but because announced its desire to reform the of their flexible status, all compliance In a similar judgment of 16 January current legislation (i.e. concerning the with sectoral arrangements in terms 2019, the Commercial Court of peer-to-peer status) and launched of wage and employment regulation Brussels incidentally ruled on the an online consultative forum to is lifted. Domiciliary personal care is employment status of Uber drivers by gather contributions and opinions a case in point: traditionally provided stating that drivers are in fact not to from platform workers, platform by employees of non-profit and be considered as employees. Although management, trade unions and other semi-public care enterprises, today the competence of this court to deal relevant actors. In mid-February anyone can perform such services as with this category of disputes was 2022, the Government presented a a peer-to-peer worker via accredited contested from a legal perspective— plan to reform the status of platform platforms. This goes hand in hand such disputes normally falling under workers as part of a broader reform with the decade-long retreat of the the jurisdiction of the Labour Courts21 of the labour market. Following the Belgian government from investing in —the judgment was nevertheless recent European Commission directive social spending in public goods such subjected to an appeal, which is on improving working conditions in as personal care since the austerity now pending before the Brussels platform work, the proposed text reforms in 2012, when €2.3 billion Court of Appeals. In an interlocutory establishes a list of eight criteria to were cut from the health sector18. judgment, the Court of Appeals has determine the status (as employee raised two prejudicial questions to the or self-employment) of platform Unsurprisingly, the peer-to-peer status Constitutional Court with respect to the workers, and makes accident insurance has been highly contested in Belgium, need for taxi licenses for Uber drivers, obligatory for all workers regardless on the grounds that it grants benefits to and whether this could constitute some of their status. The proposal will soon platforms to the detriment of taxpayers form of discrimination against regular undergo parliamentary debate, which and worker welfare19. In its 2021 ruling taxi-drivers. Specifically, after the may lead to changes in the current text. that restored the 10.7% tax rate on Brussels government banned the use platform earnings, the Constitutional of the Uber smartphone app to book Court refrained from repealing the rides instantaneously and introduced possibility of platforms to classify the an obligation to book rides at least employment status of their workers three hours ahead in March 2021, in as self-employed or ‘peer-to-peer’20, November of that year the Appeals which still remains a contested issue in Court decided that Uber riders could Belgium as recent legal cases indicate. no longer use their apps because it First, in 2018, two rulings of the violated the law on taxi services. This was strongly contested by Uber, which “The peer-to-peer Administrative Commission for Employment Relationships stated pointed to the fact that the Brussels status has been government applied a law on taxi that Deliveroo couriers should be services from 1995 that had not been highly contested considered as employees, contrary to what was maintained and practiced updated. This put the two thousand Uber riders in Brussels temporarily in Belgium, on by the company. However, following a request by Deliveroo, these two out of work. In December 2021, a temporary solution was found by the the grounds that rulings were first found to be invalid by the Brussels Labour Tribunal, but government, which allowed Uber it grants benefits workers to resume their work within this decision was again repelled by a new judicial framework, namely to platforms to the Court of Appeal. Nevertheless, four years after the initial rulings, by asking riders to fulfil a number of conditions, such as proving that they the detriment of this had no more significance. Later, the Public Prosecutor in Brussels work at least 20 hours per week, prohibiting them from using taxi lanes taxpayers and started an investigation regarding the employment status of Deliveroo or taxi parking lots, and only allowing worker welfare.” them to carry out rides that have been couriers, which led to the platform assigned to them by the platform.
Labour Standards in the Platform Economy | 15 Fairwork Belgium Scores 2022 Score (out of 10) Takeaway 6 Ring Twice 4 Deliveroo Top Help Yoopies * The breakdown of scores for individual platforms can be seen at: https://fair.work/bel
16 | Fair work Belgium Ratings 2022 Explaining the scores Fair Pay Fair Conditions Fair Contracts ↘ Of the five platforms we studied ↘ Only one platform could evidence ↘ Three of the five platforms— for this report, we found that only that they offer protection against Deliveroo, Ring Twice and Takeaway— two—Takeaway and Ring Twice— work-related risks and in the case could show that they provide terms guarantee their workers earn at least of incapacity to work. This platform, and conditions in a clear, transparent the minimum wage after costs22. Ring Takeaway, was awarded both points and accessible form. However, only Twice, which relies on the peer-to- under this principle—though we Takeaway also demonstrated that peer status and self-employment, strongly recommend that it ensures liabilities and risks of engaging in the sets ‘technical minima’, i.e. a wage that all its couriers are duly informed work are shared between the platform floor for each of the occupations about their rights. Although a basic and the workers. Given the poor results available on the platform. Although we insurance scheme is available on both regarding contracts, we urge platforms awarded the point to both platforms, Ring Twice and Deliveroo, we could to implement changes in their we acknowledge that Ring Twice not award the point because Ring contracts and establish relationships workers take a higher risk because Twice fails to offer a ‘work accident’ with workers that are in line with they are independent workers who insurance and only covers peer-to- national regulations. have to provide for their own social peer workers using the platform, not security and need to secure sufficient the self-employed. Similarly, we find income. Differently, Takeaway hires its Deliveroo’s insurance coverage to be couriers (whether as direct employees insufficient, amongst others due to or through temporary agencies), the lack of coverage of material costs and therefore follows minima set (such as damage to phones, bikes) and by sectoral agreements. However, the lack of a motor vehicle insurance the current pay level is contested for self-employed workers using a by workers and trade unions, who motorised vehicle for delivery. The are calling for the reclassification of fact that none of the other platforms couriers under a different sectoral reviewed could evidence the existence agreement, with higher salary scales. of protections makes it very clear Other platforms, hiring workers under that platforms should act promptly to the peer-to-peer status, as self- improve working conditions. employed or informal workers, could not evidence that they guaranteed minimum wages as stipulated in sectoral collective agreements.
Labour Standards in the Platform Economy | 17 Fair Management Fair Representation ↘ Although all platforms reviewed ↘ None of the platforms fully met have communication channels allowing the principle of fair representation. workers to interact with a human Deliveroo evidenced the recent representative, only two (Ring Twice establishment of an internal workers’ and Takeaway) evidenced effective representation body, but the platform due process for decisions affecting could not be awarded the point workers. Moreover, only Ring Twice because it did not evidence any provided evidence of ensuring equity willingness to recognise, or bargain in the management process. Our with, a trade union. As for Ring Twice findings in this category indicate that and Takeaway, there was insufficient more efforts are needed to improve fair evidence of solid relations with national management on platforms. trade unions to award the point. This all points to the fact that most Belgian platform workers are left without institutionalised channels for worker representation, meaning that they have little or no influence over the decisions that impact their jobs. Thomas Dekiere / Shutterstockwork
18 | Fair work Belgium Ratings 2022 Platform in Focus: Ring Twice Total Principle 1: Pays at least the local Pays at least a local living minimum wage after costs wage after costs Fair Pay Principle 2: Mitigates task-specific risks Provides a safety net Fair Conditions Provides clear and Principle 3: Does not impose unfair transparent terms and contract terms Fair Contracts conditions Principle 4: Fair Provides due process for decisions affecting workers Provides equity in the management process 2 Management Assures freedom of Principle 5: Fair association and the Supports democratic expression of collective governance Representation worker voice Ring Twice overall score 04 Ring Twice is a Belgian platform hours worked when they close the amount is lower than what is needed providing a broad range of different job on the platform25. Ring Twice to make a living in Belgium, which household services, such as cleaning, enforces a minimum pay rate below workers report as problematic in their babysitting, gardening, hairdressing, which workers cannot charge: when interviews. house repairs, IT-services and many workers try to enter a lower tariff, it is more. Ring Twice was founded in automatically rejected by the platform, Ring Twice offers private insurance 2013 and was the first platform to be so as to avoid undercutting. Minimum covering material damage to the officially recognised by the Belgian pay rates differ between job categories. client’s belongings and physical injuries government under the ‘peer-to-peer Ring Twice advertises that workers up to a certain amount. However, the status’. While the platform is only should account for costs such as those insurance coverage is more limited active in Belgium, it has expanded arising from buying materials and than the regular workplace accident over the years to the 400,000 users commuting when setting their price. insurance offered to employees in and 36,000 workers it has currently23. In scoring the platform, we faced the Belgium, and excludes accidents Around 80% of Ring Twice workers challenge that Ring Twice operates occurring when commuting to work. work under the Belgian peer-to-peer in sectors that are not covered by Importantly, the insurance is only status, while the remaining 20% are collective agreements in Belgium, such offered to peer-to-peer workers. Self- self-employed24. as babysitting, and have therefore no employed workers are required to set minimum wage. Hence, we see the provide for their own insurance. Payments are made through the minimum pay rate set by the platform platform, with workers setting an A positive feature highlighted by many in these sectors (the lowest being hourly or fixed-price pay rate when Ring Twice workers is that they can €7 for babysitting and pet sitting) as applying for a job, and confirming contact management any time, even a good step forward. However, the this pay rate and the number of outside their working hours, by email,
Labour Standards in the Platform Economy | 19 text message or phone, and can meet policy and communicated this new them face-to-face. Workers have a policy to workers. We will monitor the contact person whom they can reach implementation and benefits of these in case of questions or concerns, as new policies for workers over the next reported by one of the workers we year. interviewed: “I met her [Ring Twice manager] twice. (…) I find it nice that Overall, we see that Ring Twice is she always answers very quickly. I taking steps to improve working recently had a question about the conditions within the specific payment, I wrote her on WhatsApp and regulatory setting in which it operates, she answered within a day.” even in cases when sectoral regulation is missing. However, as evidenced by As a result of its engagement with the low scores for some principles, Fairwork, Ring Twice has dedicated there is still room for improvement. In a new web page to a formalised particular, we would advocate an all- appeal process, which will also be inclusive policy for the social protection communicated in emails to workers and collective bargaining rights of who are deactivated. Moreover, workers. resulting from the engagement with Fairwork, the platform has implemented an anti-discrimination
20 | Fair work Belgium Ratings 2022 Workers’ Stories Sander* is 24, and has been working for with Takeaway, he was giving them his Takeaway for the last three years. During availability and was being assigned shifts this time, he got promoted from courier to within his availability (although sometimes driver captain. Prior to that, Sander used not as many shifts as he wanted), making Sander to work as a warehouse and assembly his income more predictable. But not Takeaway line worker, and as a DJ. When Sander showing up for a shift was punished by joined the platform in 2018, just before losing access to the shift-booking system in he dropped out of university, there were the following week. In order to be offered a so few couriers available that “Takeaway monthly contract and to become a captain, were hiring anybody with two legs”. At that Sander had to demonstrate high availability: time, there were also very few restaurants giving as many hours and days he could involved and delivery shifts were only in the work as possible, including weekends, and evenings. Then it all changed. More couriers never cancelling shifts due to bad weather and restaurants joined and work became or other commitments. As a driver captain, much more intense, with very limited or no he now earns €13.80 per hour. He still breaks between orders. As a bike courier, delivers food when needed, but also trains Sander was paid first €10 and then €12 and supervises other couriers, monitoring per hour, and was offered initially daily and their statistics, checking their outfit and then weekly and monthly contracts. He compliance with rules, and helping them experienced multiple problems with badly when they encounter difficulties. Sander is functioning bikes provided by Takeaway a member of a trade union and regrets that and some scolding from a hub coordinator. many other riders are not, as he believes Food delivery was exhausting. When he that if more of his fellow workers were returned home in the evenings, he could union members, their chances of making only eat and sleep. During periods of very their voices heard by management would few shifts on Takeaway, he tried to top up be higher. His ambition is to become a hub his income by working for Deliveroo. This, coordinator, as that would secure him a however, turned out to be a waste of time, permanent contract and a salary of about as there were very few orders available €1,800 per month. for the number of waiting riders. At least *Name changed to protect worker identity
Labour Standards in the Platform Economy | 21 Theme in Focus: Deregulation, Informality and Unpaid Work in Care Platforms One of the most contested aspects of the platform economy—which comes across this report—is how it challenges the regulation of established sectors, both in terms of service provision to clients, and the employment relationship. National governments have increasingly been exiting certain sectors that they traditionally oversaw, such as health and care services, through reductions in spending and investment in public goods under austerity policies. The result is a rise in informality and unpaid labour (as one of its main manifestations) in the platform economy—an area which claims to increase labour participation of those not yet included in the formal labour market. One clear example of increasing In the mid-2000s, Belgium introduced open-ended employment contracts informality through deregulation is a voucher system to foster the that ensure access to full social the platform care sector in Belgium. formalisation of domestic service26. The security and work stability. Here we observe that platforms’ timid system relies on two core elements: or non-existent compliance with the first, strong state subsidies whereby Differently from other countries in regulations organising the sector can clients can purchase domestic Europe that have a similar scheme result in unpaid work. As one of the services through vouchers at a highly (e.g. France), only domestic tasks workers we interviewed observed: discounted price in order to incentivize can be carried out within the scope “Work on TopHelp is never declared, the formal hiring of domestic workers; of the Belgian voucher system. it’s like voluntary work, more or less. second, the establishment of a Accordingly, personal care services I had got in touch with one of the tripartite employment system in the such as assistance to the elderly or platforms administrators and asked domestic service sector, whereby to people with disabilities are usually him if there were ways to declare my domestic workers are not hired directly provided through profit and non-profit work but they replied that they don’t by clients (as is the case in France, for organisations with regularly employed deal with this kind of stuff.” instance) but rather by employment staff. Alternatively, they are provided by agencies, with which workers have so-called Local Employment Agencies
22 | Fair work Belgium Ratings 2022 BW Press / Shutterstock.com fizkes / Shutterstockwork (ALE/PWA) that aim to reintegrate extensively on the use of intermediary know what to do here.” long-term labour market dropouts and agencies that hire domestic workers other welfare beneficiaries27. Baby- and remunerate them on the basis Most services offered on care platforms sitting and private-tutoring services of hours worked—that is, based on in Belgium (for example, personal fall outside the scope of the regulation. the vouchers paid by their clients. care for the elderly and people with However, platforms are often not Some tasks involving a lot of risks are disabilities) are either regulated as aware of or do not follow the rules of forbidden in the voucher system, but work within the ‘triangular’ voucher the sector in the host countries they are done by workers working through system as a formal employment operate in. As one worker told us, there platforms, as one worker told us: “The relationship, or unregulated, as is seems to be no Belgium-specific help difference between platform work and the case for private tutoring and for Belgian platform workers, which work by vouchers is that in the first baby-sitting. Thus, when matched on leaves Belgian workers unsupported case when I go and work for people, platforms, instead of using the national when in need of clarification regarding fixing tiles and walking up ladders, voucher system the contracting parties taxation and regulation: “There is some I take my risks. Under the voucher can arrange work agreements only sort of confusion between Yoopies system, this is forbidden.” informally. This generates unpaid France and Yoopies Belgium, I never labour such as work involved in job know where to ask for information The research we have conducted on search, job applications and making and support. I once sent a message care platforms in Belgium, namely, an attractive profile on platforms. to the Yoopies support system asking Top Help and Yoopies, within the Workers are deprived of social for help about the voucher system scope of the ResPecTMe and Fairwork protection coverage and guaranteed and a French guy replied, telling me projects reveals how care platforms minimum wage standards. Moreover, ‘I don’t understand your question’, so tend to disregard existing regulation unpaid labour within care platforms I realised that it was Yoopies France and rather end up boosting informal is also exacerbated by the hidden responding and they had no idea about work, as illustrated by a respondent: nature of the work that is performed the [Belgian] voucher system.” “This [platform work] is for people by the worker, as the latter often who have small jobs like cleaners, lacks information on the client’s When we look at the form of who work informally, people without expectations. employment which the voucher system qualifications and especially establishes, we see that in Belgium newcomers, so maybe people who are the system is ‘triangular’28, as it relies qualified in their countries but don’t
Labour Standards in the Platform Economy | 23 Moving Forward: Pathways of Change Fairwork’s theory of change This report establishes a baseline on the incorporates four pathways to current situation of Belgium’s platform improving working conditions for platform workers. The first pathway economy that will allow us to study its entails engaging with platforms directly to push them to improve development and update our ratings on working conditions. As Fairwork grows, platforms are increasingly aware an annual basis. The low scores for four of the importance of accountability of the five platforms we scored indicate a mechanisms such as the Fairwork framework. By guiding platforms with strong imperative for regulatory reform our principles, we collaborate with them to improve their practices and and enforcement. However, the range of policies to provide better job and income opportunities for their workers, scores points to the fact that poor working while building a safer and fairer conditions are not inevitable—platform business. As a result of our research in Belgium, Ring Twice has implemented work can also mean fair work. three important changes. First, Ring Twice raised the minimum pay for babysitters and pet sitters, which are the job categories with the lowest minimum pay on the platform. Second, Ring Twice has formalised an appeal process for workers on their website and adapted the emails sent to workers in case of deactivation. These emails now contain clear information about the deactivation policy and appeal process. Third, Ring Twice formalised an anti-discrimination policy on their website and notified workers of this new policy. In addition, we have found the platform Deliveroo to be eager to work with us, and to share evidence to improve their Fairwork scores. The second pathway to change arises from a belief that, given the opportunity to make more informed choices, many consumers will choose the most ethical option when faced with a choice between a poor-scoring platform and a better-scoring one. Our yearly ratings give consumers the ability to select the highest scoring platform operating in a sector, thus contributing to pressure on platforms to improve their working Fairwork’s Pathways to Change conditions and their scores. In this
24 | Fair work Belgium Ratings 2022 way, we enable consumers to ally with Finally, and most importantly, workers work at multiple occasions. Through workers to fight for a fairer platform and workers’ organisations are at continual engagement with workers’ economy. the core of Fairwork’s model. Our representatives and advocates, we aim principles have been developed and are to support workers in asserting their Our third pathway to change involves continually refined in close consultation rights and requirements in a collective ongoing conversations with policy- with workers and their representatives. way. makers, engaging with them to Our fieldwork data, combined with advocate for extending appropriate feedback from workshops and legal protections to all platform consultations involving workers, workers, irrespective of their legal informs how we systematically evolve classification. Consistently low scores the Fairwork principles to remain in line in the Fairwork league table illustrates with their needs. In Belgium, we have the need for regulatory intervention to been engaging with trade unions on ensure that platform workers are no the national level and with trade union longer falling through the cracks. confederations at the European level, consulting them and presenting our Fairwork’s Principles: Continuous Worker-guided Evolution Fairwork Principles Changes to Principles (agreed at annual Fairwork symposium that brings together all country teams) Periodic International Annual Country-level Yearly Fieldwork Stakeholder Stakeholder across Fairwork Consultations Consultations Countries (involving gig workers’, workers’ (involving gig workers’, workers’ (involving surveys and in-depth organisations, cooperatives, etc) organisations, cooperatives, etc) interviews of gig workers) Ongoing Advocacy Efforts (involving campaigns for worker rights and support to workers’ organisations)
Labour Standards in the Platform Economy | 25 The Fairwork Pledge: As part of this process of change, we members to help them in deciding More information on the Fairwork have introduced a Fairwork pledge. which platforms to engage with. A Pledge and how to sign up at https:// This pledge leverages the power second level of engagement entails fair.work/pledge of organisations’ procurement, organisations committing to concrete investment, and partnership policies to and meaningful changes in their own support fairer platform work. practices as official Fairwork Partners, for example by committing to using Organisations like universities, schools, better-rated platforms where there is businesses, and charities who make a choice. use of platform labour can make a difference by supporting the best labour practices, guided by our five principles of fair work. Organisations who sign the pledge get to display our badge on company materials. The pledge constitutes two levels of engagement: The first is as an official Fairwork Supporter, which entails publicly demonstrating support for fairer platform work, and making resources available to staff and
26 | Fair work Belgium Ratings 2022 Appendix: Fairwork Scoring System The five Principles of Fairwork were allows one ‘basic point’ to be awarded that point. A platform can therefore developed through an extensive corresponding to the first threshold, receive a maximum Fairwork Score of literature review of published research and an additional ‘advanced point’ ten points. on job quality, stakeholder meetings to be awarded corresponding to the at UNCTAD and the ILO in Geneva second threshold (see Table 1). The Fairwork scores are updated on a (involving platform operators, policy advanced point under each Principle yearly basis. The scores presented makers, trade unions, and academics), can only be awarded if the basic point in this report were derived from data and in-country meetings with local for that Principle has been awarded. pertaining to the 14 months between stakeholders. The thresholds specify the evidence June 2020 and August 2021. required for a platform to receive Each Fairwork Principle is divided a given point. Where no verifiable into two thresholds. Accordingly, for evidence is available that meets a given each Principle, the scoring system threshold, the platform is not awarded Table 1 Fairwork Scoring System Principle Basic point Advanced point Total Fair Pay 1 1 2 Fair Conditions 1 1 2 Fair Contracts 1 1 2 Fair Management 1 1 2 Fair Representation 1 1 2 Maximum possible Fairwork Score 10
Labour Standards in the Platform Economy | 27 Principle 1: The platform must satisfy the following: Threshold 1.2 – Guarantees workers earn at least a local Fair Pay • Workers earn at least the local minimum wage, or the wage set living wage after costs (one Threshold 1.1 – Guarantees by collective sectoral agreement additional point) workers earn at least the local (whichever is higher) in the place In some places, the minimum wage is minimum wage after costs (one where they work, in their active not enough to allow workers to afford hours, after costs. point) a basic but decent standard of living. In order to evidence this, the platform To achieve this point platforms must Platform workers often have must either: (a) have a documented ensure that workers earn a living wage. substantial work-related costs to policy that guarantees the workers cover, such as transport between The platform must satisfy the following: receive at least the local minimum jobs, supplies, or fuel, insurance, and wage after costs in their active hours; • Workers earn at least a local living maintenance on a vehicle29. Workers’ or (b) provide summary statistics of wage, or the wage set by collective costs sometimes mean their take- transaction and cost data. In case of sectoral agreement (whichever home earnings may fall below the local (b), the platform must submit: is higher) in the place where they minimum wage30. Workers also absorb the costs of extra time commitment, work, in their active hours, after • An estimate for work-related costs, when they spend time waiting or costs.32,33 which are then checked by the travelling between jobs, or other Fairwork team through worker unpaid activities necessary for their If the platform has completed Table 2, interviews; and, the mean weekly earnings minus the work, which are also considered active hours31. To achieve this point platforms estimated work-related costs must be • A weekly earnings table for any must demonstrate that work-related above the local minimum wage. three-month period over the costs do not push workers below local previous twelve months, in the minimum wage. format shown below. This is a two-way relative frequency table, which should contain information on the percentages of workers whose average weekly take-home earnings and active hours are distributed as follows in Table 2. Table 2 Weekly earnings table26 WORKER EARNINGS AFTER COSTS (E) e
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