[UK] Urban Outfitters and Dreams criticised for use of gig economy app

In the UK, the high street retailer Urban Outfitters and bed chain Dreams have received criticism for their use of the gig economy app Temper to hire workers, with some being paid below the national minimum wage, Retail Gazette reports.

The TUC has called for the Government to accelerate promised reforms to protect gig economy workers over concerns that those hired via apps, including Temper, miss out on significant employment rights such as sick pay, rest breaks, holiday pay and a minimum hourly rate, according to reporting from The Guardian.

The TUC stated that such apps were leading to bogus self-employed positions.

“We find it hard to see how roles like shop assistant can be self-employed,” it said.

Charges implemented by Temper to guarantee swift wage payment - an option chosen by 80 per cent of users, Temper claims – reportedly mean some workers can earn less than the legal national minimum wage for those aged 21 and above of £12.21 per hour.

The Guardian reports that, over recent weeks, Urban Outfitters has been advertising various posts paying £12.50 per hour, such as a stock assistant to help with the annual stock take in Exeter and sales assistants in Birmingham and Gateshead.

Users accepting the Urban Outfitters roles who want to be paid in fewer than 14 days must pay the 2.9 per cent fee. This drops their hourly rate to £12.14; 7p an hour below the legal minimum wage for those aged 21 and above.

Dreams has reportedly advertised a number of positions on Temper over recent weeks, including two paying £12.71 per hour. One involves helping delivery drivers load and unload deliveries to shoppers’ homes, and the other receiving and dispatching deliveries in its warehouse until 11pm. It also shared a delivery driver position for £15.14.

Users who do not want to wait up to 60 days to be paid must pay the 2.9 per cent fee to the app, lowering their wages to £12.35 and £13.68 an hour.

TUC general secretary Paul Nowak said, “Cynical bosses should not be able to exploit gaps in the law to deny workers proper pay and conditions. 

“The historic Employment Rights Act will bring welcome new protections. But without action on bogus self-employment, bad employers will make greater use of legal loopholes and talent platforms to deny workers their rights.”

Temper said, in a statement, “We fully refute the comment that Temper constitutes ‘bogus’ self-employment.

“We are committed to remaining fully compliant with UK employment law. If there are any changes to worker status definitions in the future, we will, of course, adapt our platform and model to remain fully compliant.”

Source: Retail Gazette

(Quotes via original reporting)

In the UK, the high street retailer Urban Outfitters and bed chain Dreams have received criticism for their use of the gig economy app Temper to hire workers, with some being paid below the national minimum wage, Retail Gazette reports.

The TUC has called for the Government to accelerate promised reforms to protect gig economy workers over concerns that those hired via apps, including Temper, miss out on significant employment rights such as sick pay, rest breaks, holiday pay and a minimum hourly rate, according to reporting from The Guardian.

The TUC stated that such apps were leading to bogus self-employed positions.

“We find it hard to see how roles like shop assistant can be self-employed,” it said.

Charges implemented by Temper to guarantee swift wage payment - an option chosen by 80 per cent of users, Temper claims – reportedly mean some workers can earn less than the legal national minimum wage for those aged 21 and above of £12.21 per hour.

The Guardian reports that, over recent weeks, Urban Outfitters has been advertising various posts paying £12.50 per hour, such as a stock assistant to help with the annual stock take in Exeter and sales assistants in Birmingham and Gateshead.

Users accepting the Urban Outfitters roles who want to be paid in fewer than 14 days must pay the 2.9 per cent fee. This drops their hourly rate to £12.14; 7p an hour below the legal minimum wage for those aged 21 and above.

Dreams has reportedly advertised a number of positions on Temper over recent weeks, including two paying £12.71 per hour. One involves helping delivery drivers load and unload deliveries to shoppers’ homes, and the other receiving and dispatching deliveries in its warehouse until 11pm. It also shared a delivery driver position for £15.14.

Users who do not want to wait up to 60 days to be paid must pay the 2.9 per cent fee to the app, lowering their wages to £12.35 and £13.68 an hour.

TUC general secretary Paul Nowak said, “Cynical bosses should not be able to exploit gaps in the law to deny workers proper pay and conditions. 

“The historic Employment Rights Act will bring welcome new protections. But without action on bogus self-employment, bad employers will make greater use of legal loopholes and talent platforms to deny workers their rights.”

Temper said, in a statement, “We fully refute the comment that Temper constitutes ‘bogus’ self-employment.

“We are committed to remaining fully compliant with UK employment law. If there are any changes to worker status definitions in the future, we will, of course, adapt our platform and model to remain fully compliant.”

Source: Retail Gazette

(Quotes via original reporting)