Uber Technologies Inc will begin offering an insurance package to its food delivery couriers in Europe, a move to address the conditions of “gig economy” workers.
Riders for food-delivery companies such as Uber Eats and Deliveroo are typically self-employed and the firms have come under fire for how they treat their workers.
Uber Eats yesterday said it would start offering all its couriers in Europe an insurance package with AXA SA, with coverage for personal accidents, cash benefits for hospitalization, property damage and cover for third-party injury.
“Uber Eats couriers can now enjoy the freedom and flexibility of working on their own schedule with the peace of mind provided by additional security and protection,” Uber Eats general manager for Europe Filip Nuytemans said.
Uber Eats currently operates in Austria, Belgium, Italy, Netherlands, Poland, Portugal, Spain, Sweden and the UK. The plan will be introduced on Jan. 8 next year, the company said.
The gig economy, where individuals work for multiple employers day-to-day without having a fixed contract, has expanded with the arrival of apps such as Uber and Deliveroo, who say their workers have full flexibility to work when they want and for how long they want.
However, companies in the gig economy come under fire from unions and politicians for what they call exploitative practices and riders for Deliveroo have gone to court in the UK to seek employment rights such as the minimum wage.
Two drivers for Uber’s ride-hailing app successfully argued at a tribunal in London that the San Francisco company had responsibilities in terms of workers’ rights.
The plan offered by Uber Eats is to reimburse couriers up to 7,500 euros (US$8,837) for medical expenses from an accident that results in hospitalization or 3,000 euros if the hospitalization is for three consecutive nights or more.
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