Date
6 January 2022

Tag

Active

Country
Italy Italy
Geographical scope
Regional
Type
  • Type

    Provision of insurance and social protection

    Legal
  • Type

    Employment contract

    Legal

Description

On 12 October 2021, Milan prosecutors closed investigations on Uber Eats for gangmastering (‘caporalato’) and exploitation of workers. According to the accusations, Uber Eats was cooperating with an intermediary firm, Flash Road City (later FRC srl), in order to hire workers without a residence permit (such as asylum seekers) using their ‘state of need’ and paying them just 3€ per delivery, robbing them of tips and curtailing wages in case the workers did not comply with the rules. In May 2021, the Court of Milan had placed Uber Eats Italy under special administration as part of the investigation carried out by the Guardia di Finanza. As a result, Flash Road City has been fined with €440 000 and one of its managers was sentenced to 3 years and 8 months in prison. Two other defendants were given prison sentences (2 years and 1 year and 6 months) for tax offenses. The 44 messengers concerned (who had been working between Milan, Turin and Florence) received a compensation of €10 000 each. Uber Italia’s manager was suspended and the company is now operating under special administration. 

Following the gangmastering case in Uber Eats and with the support of the Ministry of Internal affairs, an agreement was signed in Milan between CGIL, CISL and UIL and Assodelivery (an organisation that includes Uber Italy, Glovo, Just Eat, Deliveroo and similar platforms) in November 2020, which aims to fight gangmastering. With the agreement, food delivery platforms pledge to hire their riders directly and not through third companies. Trade Unions are supervising the implementation of the agreement. It is considered an important agreement that can serve as a model for developing better regulations. Assodelivery also signed another (controversial) agreement with UGL. 

Further information:  National developments - Digital Platform Observatory 

Caporalato sui rider, prima condanna a Milano - La Stampa 


Additional metadata

Keywords
labour market access, platform characteristics and business model, work organisation
Actors
Business association, Employee organisation
Sector
Transportation and storage

Citation

Eurofound (2022), Gangmastering case in Uber Eats and agreement against gangmastering (Initiative), Record number 2269, Platform Economy Database, Dublin, https://apps.eurofound.europa.eu/platformeconomydb/gangmastering-case-in-uber-eats-and-agreement-against-gangmastering-106123.