European Commission Launches Proposals To Improve The Working Conditions In Platform Work: The Application Of Competition Law In This Sector

• Published date: 18 February 2022
• Subject Matter: nti-trust/Competition Law, Antitrust, EU Competition
• Law Firm: Bird & Bird
• Author: Mr Jose Rivas and Miguel Orellana

Article Summary The European Commission recently proposed a package of measures to improve to working conditions of people working through digital labour platforms. The package includes a Communication that sets out the EU approach to and measures on platform work, a proposal for a Directive on improving working conditions in platform work, and Draft Guidelines that clarify the application of EU Competition Law to collective agreements of solo self-employed related to the improvement of working conditions. The Court of Justice has previously held that collective bargaining agreements between employers and their workers that intend to improve working conditions, including pay, fall outside the scope of Article 101 TFEU and do not infringe EU competition law. The position of collective bargaining agreements involving solo self-employed persons under Article 101 TFEU is clarified in the Commission's Draft Guidelines. The Draft Guidelines further clarify the categories of solo self-employed persons that are considered comparable to workers and whose collective agreements consequently fall outside the scope of Article 101 TFEU.

On 9 December 2021, the European Commission proposed a package of measures to improve the working conditions of people working through digital labour platforms and to support the sustainable growth of such platforms in the European Union ("EU").

According to the Commission, the set of measures are designed to ensure that platform workers can enjoy the labour rights and social benefits they are entitled to, as well as providing legal certainty and enabling digital labour platforms to benefit from the economic potential of the Single Market and a level playing field.

The package launched by the Commission is composed of:

• A communication setting out the EU approach and measures on platform work;
• A proposal for a Directive on improving the working conditions in platform work; and
• Draft Guidelines clarifying the application of EU Competition law to collective agreements of solo self-employed people related to the improvement of their working conditions (the "draft Guidelines").

Digitalisation of the production process and the rise of the online platform economy in recent years have produced fundamental changes in the labour market.

As a result, self-employment in the EU has grown substantially in these sectors. These developments, on the one hand, have increased the flexibility and accessibility of the labour market and, on the...