The algorithmic management of work
The correct classification of workers by platform is essential to ensure that their rights are respected and that they do not assume risks and responsibilities that belong to companies and not to them.
Companies and employees
In an economic activity, it is essential to understand the different roles played by companies and employees.
In general terms, companies are responsible for the design, organization, management, and control of an economic activity. They have the autonomy to decide on investments, assume financial risks, and retain the profits from a venture.
On the other hand, employees must follow instructions, rules, and orders from companies in order for such activity to be feasible. They are subject to company management, have their work monitored and evaluated, and receive salaries for their activities.
The distinction between business activities and those of workers is not always easy to make and depends on a concrete analysis of the relationships established between the parties.
It is important, however, because confusion between these two different roles can harm employees.
Under the idea of false autonomy, employees not only have their rights disregarded, but may also assume the risks and costs of a business activity without having real independence and without receiving the profits from the venture.
MODULE 02
Algorithmic Management and False Autonomy
The way in which many digital platforms organize their businesses and use technological tools in their economic activity can complicate the correct classification of their workers as employees.
The centerpiece of this complexity is what is known as algorithmic work management.
Through sophisticated electronic devices and computational resources, digital platforms have the ability to capture vast amounts of data in real time, process it, create digital profiles of workers, and make automated decisions in the interests of companies.
Thus, even from a distance and without the presence of a human, many digital platforms have the ability to direct, control, and evaluate the various activities of workers, including implementing punishments when the rules stipulated by companies are not followed.
By being subject to the algorithmic management of companies, but not being recognized as employees, platform workers can be disadvantaged. This is because in this way they:
- Their rights as workers are not respected;
- They do not engage in genuine business activity;
- In the worst cases, they assume the financial costs and risks of the companies that created the platforms, without participating in their profits or deciding on their investments.
97%
of private passenger transport drivers working through platforms state that the amount they receive for their work is determined by the platform.
80%
Delivery drivers working for platforms claim that the deadlines for completing tasks or work activities are determined by the platform.
85%
of platform delivery workers say that it is the platform that determines which customers are served
The challenges of algorithmic management for workers, courts, and public authorities
Over the last fifteen years, different digital platforms have demonstrated their ability to implement algorithmic work management capable of directing and controlling a series of activities necessary for the functioning of a company, such as:
- Hiring workers;
- Conduct training sessions;
- Give instructions;
- Assign clients to employees;
- Monitor the worker;
- Calculate the price of the services offered;
- Calculate employee compensation;
- Measure worker productivity;
- Rewarding or punishing an employee;
- Fire him, etc.;
This has posed two particular challenges involving workers, courts, and governments.
The first concerns the way in which many digital platforms have classified their workforce as self-employed or even as customers of the platforms.
Courts in different countries, however, have highlighted various aspects of algorithmic management and the business model of many platforms to deny this classification of the workforce as self-employed. They have indicated, for example, that many platforms integrate workers into their organization; and/or direct and control their activities; and/or restrict the autonomy of their workers, etc.
At the same time, some governments have sought to strengthen the fight against false autonomy in work through digital platforms by creating specific laws targeting the sector.
The second challenge posed by the spread of algorithmic management concerns its lack of transparency.
The systems created by various platforms mobilize a range of data about workers, create profiles about them, and implement decisions in a predominantly automated manner.
However, it is unclear why and how this is done. What data is captured, when it is captured, for what purposes, where and for how long it is stored, who has access to it, etc., are questions that permeate the functioning of the platforms. They can influence a wide range of aspects of work: from workers' remuneration to possible termination of their employment on the platform.
The issue of transparency, on the other hand, has also mobilized courts and governments.
Workers and their representatives have been seeking legal access to information on how algorithmic management actually works and have questioned automated decisions implemented by companies.
In turn, there are legislative initiatives that seek to substantially regulate algorithmic work management, restricting its activities, making it transparent, and effectively overseeing its performance.
The courts and the algorithmic algorithmic of work
The introduction of algorithmic algorithmic of work by various companies brought with it a series of challenges for workers and authorities public public in all the world.
SOURCES
Christina Hiessl – Case Law on the Classification of Platform WorkersEuropean Union – Directive on improving working conditions on digital platformsDepending on the breakdown:IBGE – Teleworking and work through digital platforms 2022OrSpanish Supreme Court – Judgment Number 805/2020
Explore other issues
Nothing found.