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Addison Lee drivers plan to strike over pay and conditions ahead of a court hearing next month on their employment status at the taxi company, as gig economy businesses come under increasing pressure to improve workers’ rights.
The Independent Workers Union of Great Britain, which organised the action, told the Financial Times it expected hundreds of drivers to log off from the Addison Lee app between 5am and 9am on Monday to target the company during the morning commute.
Addison Lee classifies its drivers as independent self-employed contractors despite a 2021 UK Supreme Court ruling that Uber’s drivers were workers. European ride-hailing rival Bolt last month began offering its UK drivers holiday pay and a guarantee of the minimum wage, ahead of its own hearing on their employment status.
The planned direct action follows strikes by online food delivery couriers in the UK this year.
The Addison Lee drivers’ demands include higher minimum fares, a 30 per cent cap on what the company takes from customer payments and a freeze on car rental payments during sick leave.
Some drivers have reported a fall in income of up to a third since 2021 and the company’s commission can occasionally be as high as 70 per cent, according to the union.
“Sleep deprivation, sciatica, and serious mental health issues plague a large portion of Addison Lee’s workforce, who, after devastating pay cuts, are forced to spend 70 hours a week plus on the roads,” said Nader Awaad, chair of the private hire drivers branch at the IWGB.
One Addison Lee driver planning to take part in Monday’s protest said that although they often worked seven days a week for up to 12 hours a day, they were living “hand to mouth” and were “constantly stressed about whether I’ll be able to make ends meet at the end of the month”.
The driver added that a few years ago they worked only five days a week but earned enough “to live comfortably and put some money aside each month”.
The legal claim led by law firm Leigh Day argues that Addison Lee drivers are workers.
A 2024 Addison Lee driver’s contract seen by the Financial Times said the driver was an “independent, self-employed contractor” and included a commitment to ensure drivers receive earnings at least equivalent to the UK living wage as well as a sum of money in lieu of holiday pay.
Leigh Day told the Financial Times that drivers who join the claim could be entitled to an average of roughly £15,000-£18,000 in compensation for losses in earnings in relation to the minimum wage and backdated holiday pay if it is successful, and the company could end up owing £10mn in damages.
An employment tribunal hearing on liability is slated to start at the end of October and last about a month, according to the law firm.
The case follows a 2017 employment tribunal ruling that three Addison Lee drivers were workers. The decision was upheld the following year and in 2021 the company was refused permission to challenge the judgment at the Court of Appeal, which cited that year’s landmark Supreme Court decision on Uber.
Addison Lee said the deal it offered drivers was “the best in the industry, providing rates that have only ever increased and a subsidised car deal”.
The company added that this was underwritten by a guaranteed London living wage along with holiday pay and access to a pension, and additional benefits through a rewards scheme that offered sick pay, physiotherapist support and mental health counselling.
Addison Lee said its annual independent driver satisfaction survey showed “growing positive sentiment”.
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