Uber has lost its appeal in the Supreme Court, which means it must now treat its drivers like staff employees rather than self-employed contractors.
The ruling means that thousands of drivers are now entitled to both minimum wage and holiday pay.
Yaseen Aslam, App Drivers & Couriers Union president and co-lead claimant and said: "I am overjoyed and greatly relieved by this decision which will bring relief to so many workers in the gig economy who so desperately need it."
The ride-haling taxi app argued that it is solely a technology provider, with its subsidiary 'Uber London' acting as a booking agent for drivers.
Uber was first brought to court in 2016, when a group of the app’s drivers claimed employment rights at an employment tribunal and won.
Following a preliminary hearing, the employment tribunal found that the drivers were workers and that they were “working" whenever they (a) had the Uber app switched on, (b) were within the territory in which they were authorised to work, and (c) were able and willing to accept assignments.
Uber then appealed the tribunal verdict and lost, and then lost again after bringing a case to the Court of Appeal.
After that the company brought an appeal to the UK's highest court - the Supreme Court - which will rule on the drivers' claims for a fourth time on 19 February, following hearings that started last year.
The drivers contend that they were "workers" for the purposes of the Employment Rights Act 1996, the National Minimum Wage Act 1998 and the Working Time Regulations 1998.
As such, they claim they were entitled to the minimum wage, paid leave and other legal protections.
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