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Uber's digital labour platform and labour relations in South Africa

Author

Listed:
  • Welmah N. Mutengwe
  • Adrino Mazenda
  • Moreblessing Simawu

Abstract

Motivation With rising unemployment in South Africa, new forms of digital work transcend legal conceptions and discourses on work. Uber's digital labour platform (DLP) has the potential to reduce unemployment and improve the livelihoods of South African households. Purpose We examine the nature of employment through digital platforms to assess how such employment conforms to labour law and regulation in South Africa, the responsibility of the Department of Employment and Labour (DEL). Methods and approach We review the literature on the gig economy, decent work, and labour relations. We examine Uber DLP in South Africa to assess its potential to create decent work given DEL's current labour regulations. We analyse factors that harm the relationship between Uber DLP and DEL. Findings Despite numerous constitutional provisions governing DLP and DEL, Uber DLP workers in South Africa are considered independent contractors not entitled to employee benefits. Uber DLP employees in South Africa make less than the national minimum wage after the platform deducts its fees. Few professional drivers own the cars they drive; they rent them from owners, known as “partners,” and split the earnings, meaning that the drivers earn very little. Policy implications DEL needs to establish a balance between flexibility and labour standards. DEL should preserve workers' rights and ensure financial stability in the digital age. Labour laws should be updated based on reliable data while considering the effects of digitally enabled employment on society and the economy. Platform workers need the same protection at work as other workers.

Suggested Citation

  • Welmah N. Mutengwe & Adrino Mazenda & Moreblessing Simawu, 2024. "Uber's digital labour platform and labour relations in South Africa," Development Policy Review, Overseas Development Institute, vol. 42(1), January.
  • Handle: RePEc:bla:devpol:v:42:y:2024:i:1:n:e12735
    DOI: 10.1111/dpr.12735
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    References listed on IDEAS

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    1. Katharina Bohnenberger, 2022. "Greening work: labor market policies for the environment," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 49(2), pages 347-368, May.
    2. Mark Graham & Isis Hjorth & Vili Lehdonvirta, 2017. "Digital labour and development: impacts of global digital labour platforms and the gig economy on worker livelihoods," Transfer: European Review of Labour and Research, , vol. 23(2), pages 135-162, May.
    3. Mohammad Amir Anwar & Mark Graham, 2020. "Digital labour at economic margins: African workers and the global information economy," Review of African Political Economy, Taylor & Francis Journals, vol. 47(163), pages 95-105, July.
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