Foodora couriers are dependent contractors, can unionize

The Ontario Labour Relations Board (OLRB) has found that couriers operating for Foodora are in fact dependent contractors. This precedent-setting decision grants the couriers the right to join a union, marking a significant strike against the gig economy.

Couriers for the food-delivery company sought to join the Canadian Union of Postal Workers (CUPW), and held a vote last August. Due to questions about their employment status and eligibility for unionization, the final tally was withheld. The results will remain sealed until additional legal challenges between Foodora and CUPW are resolved.

“This confirms the notion that drivers in the gig economy are not independent contractors and that they are integrated into the business of the company,” said employment lawyer Lior Samfiru, partner at Samfiru Tumarkin LLP. “They have rights and protections that cannot be taken away simply by misclassifying them.”

Samfiru launched a class-action against Uber in 2017, arguing that drivers operating for the ride-sharing giant are in fact employees. The case has wound its way through Ontario courts, and was heard before the Supreme Court of Canada in November.

“This OLRB decision means that the drivers now have leverage. If they are not happy with the terms that Foodora is offering, they can strike and shut down Foodora’s business. Whereas before, if a driver was not happy with Foodora’s terms, the company could easily find another driver.”

“This will improve the wages for the drivers and provide them with rights that they would not otherwise have (potentially: overtime, minimum wage and vacation),” said Samfiru.