Uber is one of those services that revolutionized the public transport sector by providing the people with what they dreamt of. The service has helped billions of people all over the world by commuting them to places on daily basis but there seems to be a bit of problem at the backend.
Uber has kept defining itself as a Digital Service that the customers are using through a smartphone app but, the EU government thinks otherwise. The company is of the view that it is simply providing an intermediary digital communication service between drivers and customers by helping the two parties communicate with each other with their designed software. The EU government has rejected this point of view and says that Uber should be treated as a “service in the field of transport.”
Here’s the ruling by the European Court of Justice (ECJ) regarding the case:
As EU law currently stands, it is for the member states to regulate the conditions under which such services are to be provided in conformity with the general rules of the treaty on the functioning of the EU.
Leg-Pullers Or Right Deprived Drivers?
There are two angles of viewing the case. According to the professional taxi drivers in Barcelona, Uber is involved in misleading practices to catch their potential customers. Moreover, Uber has a team of non-professional drivers and a ride with such people can end up in something hazardous. While Uber stays clear with its justifications of the use of a software-based employment circumvented standard.
What Will Happen Now?
As a matter of fact, nothing major has changed:
Uber already operates under transportation law. However, millions of Europeans are still prevented from using apps like ours. As our new CEO (Dara Khosrowshahi) has said, it is appropriate to regulate services such as Uber. We want to partner with cities to ensure everyone can get a reliable ride at the tap of a button.
The threat is pointed towards the upcoming startups which are planning to join the industry with the intentions of serving as digital services. Vice President, Competition & EU Regulatory Policy at the Computer & Communications Industry Association, Jakob Kucharczyk said in this regard:
The purpose of those rules is to make sure online innovators can achieve greater scalability and competitiveness in the EU, unfettered from undue national restrictions. This is a blow to the EU’s ambition of building an integrated digital single market.