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In a big move towards acknowledging the rights of gig workers, the Australian Labor government is set to introduce a new law next week that will allow gig workers to negotiate for minimum pay and conditions.
This legal development, as reported by Reuters, is a testament to the changing dynamics of the modern workforce and the pressing need to address the unique challenges faced by those working within the gig economy.
The proposed law aims to define “employee-like workers” within the gig economy, encompassing individuals who deliver food or drive for platforms such as Uber or DoorDash. Once enacted, Australia’s industrial umpire will have the authority to establish standards concerning pay, working hours, and insurance, according to Reuters. However, it’s worth noting that these standards might vary across workplaces, and there won’t be a mandate for uniform pay or conditions.
The debate over the legal status and rights of gig economy workers isn’t unique to Australia. Many countries worldwide are grappling with similar workforce challenges. EU nations recently drafted rules to determine if platform employers should offer employee benefits, according to a separate report by Reuters.
The reception to Australia’s proposed legislation has reportedly been mixed. While Uber has expressed support for establishing minimum standards that also ensure flexibility, Australia’s business lobby group believes the law could be detrimental to both workers and consumers.
Despite the criticisms, certain conditions, such as overtime rates or rosters, will remain outside the purview of the industrial umpire. If approved, the “Closing Loopholes Bill” is set to be implemented on July 1, 2024.
The moves towards this kind of legislation by the Australian government showcases the growing influence that gig workers have on labor laws and the workforce. The legislation also highlights the importance of adapting labor laws to contemporary challenges impacting workers on a global scale. As the gig economy continues to expand globally in the coming years, and if the bill’s implementation is proven to be successful, it’s possible that more countries will address similar issues with this kind of legislation.
