Recent media coverage has put the spotlight back on the extent to which gig economy platforms can shirk their obligations under anti-discrimination law.
Earlier this year, Paula Hobley, a blind woman from regional Victoria, filed a case in the Federal Court alleging that Uber unlawfully discriminated against her by allowing its drivers to refuse service to her because of her assistance animal. Between March 2021 and November 2022, Uber drivers refused to pick up Ms Hobley on 32 separate occasions after she made a booking and let the driver know she was travelling with her guide dog.
Uber acknowledged that some of its users improperly cancel trips. However, Uber maintains that it is the Uber driver, as an independent contractor1 who control cancellations, not Uber. In other words, Uber operates the Uber app for smartphone users but is not legally responsible for any discriminatory conduct of its drivers.
Ms Hobley’s claim is therefore an important test case to determine whether Uber can distance itself from the discriminatory conduct by its drivers. As we explain in this article, our anti-discrimination frameworks support the growing political and community pressure on app operators like Uber to take greater responsibility for the misconduct of the service providers who use the app to deliver services to users.
What does the law say?
Under state-based anti-discrimination laws such as the Victorian Equal Opportunity Act 2010 (Vic) (EO Act) and the federal Disability Discrimination Act 1992 (Cth) (DD Act), it is unlawful to discriminate directly or indirectly against someone on the basis of their disability. Both acts make it clear that discrimination on the basis of a disability also extends to discrimination on the basis that the person uses an assistance animal.2
While the tests vary slightly between jurisdictions, direct discrimination is treating, or proposing to treat, someone unfavourably because of a protected attribute, such as a disability. An Uber driver cancelling a trip because they see that the person requires an assistance animal is an example of direct discrimination. Being denied a service is a clear example of unfavourable treatment.
In contrast, indirect discrimination occurs if someone imposes, or proposes to impose, a requirement, condition or practice:
- that has, or is likely to have, the effect of disadvantaging people with a protected attribute, such as a disability; and
- that is not reasonable.
Indirect discrimination recognises that even though a condition may appear to treat everyone the same, in practice it unfairly disadvantages some people or groups of people based on their protected attribute, such as their disability. For example, an Uber driver who has a blanket rule that they will not drive with an animal in their vehicle is an example of indirect discrimination. While the requirement not to travel with an animal treats everyone the same, it has the effect of disadvantaging people who require assistance animals.
When responding to an indirect discrimination claim, the service provider bears the onus of showing that the requirement was reasonable. While there are a range of factors considered to assess reasonableness, a blanket rule like this that does not provide any flexibility for those who require assistance animals is unlikely to be reasonable.
The EO Act and the DD Act also require service providers to make adjustments for people with a disability, unless the adjustments are not reasonable, or the person cannot access the service or derive any substantial benefit from it even after the adjustment is made (or another exception applies). Under the DD Act, service providers can rely on the defence of unjustifiable hardship if they can demonstrate that making the adjustment would impose unjustifiable hardship on the service provider.3
The application of these anti-discrimination laws to Uber’s independent contractor drivers would appear to be relatively clear. However, their application to Uber itself, and the extent to which Uber can be held responsible for the discriminatory actions of its drivers, will be key points of contention in Ms Hobley’s test case.
Uber asserts that the service it provides is access to the Uber app to smartphone users rather than the provision of the ride share service. On this basis, as long as Uber continues to provide disabled users with access to its app and has rules allowing users to ride with assistance animals, it is acting lawfully. Uber also asserts that the measures (and presumably the anticipated costs) that would be required to ensure Uber drivers do not discriminate against users with service animals would impose ‘unjustifiable hardship’ on Uber.
However, Uber’s argument has some flaws.
Uber already has robust systems in place to monitor driver conduct. Extending these services to monitor and respond to discriminatory conduct from drivers may therefore not meet the threshold for unjustifiable hardship.
In Victoria, the EO Act also has a positive duty that requires service providers such as Uber to take reasonable and proportionate measures to eliminate discrimination (as well as sexual harassment and victimisation) as far as possible.4 The positive duty aims to address systemic causes of discrimination, such as access refusals because of assistance animals, and overcome the limitations of our complaint-based legal system that places the onus on affected individuals to lodge discrimination claims.
The steps to comply with the positive duty vary for each organisation, taking into account their size, business, operations, resources and circumstances.
Given its size and resources, at a minimum, the positive duty requires Uber to:
- Assess its own (including its drivers) compliance with anti-discrimination laws and develop strategies for eliminating discrimination against its users;
- Take steps to ensure Uber drivers are aware that cancelling trips because a user requires an assistance animal is unacceptable, prohibited and discriminatory;
- Have robust systems to monitor, identify and eliminate inappropriate cancellations by drivers where a user requires an assistance animal; and
- Impose consequences for drivers who cancel trips because they see a user requires an assistance animal.
Unfortunately, the enforceability of Victoria’s positive duty is somewhat limited as individuals cannot complain to the Victorian Equal Opportunity and Human Rights Commission (VEOHRC) or the Victorian Civil and Administrative Tribunal (VCAT) that Uber has failed to meet its positive duty,5 though compliance with the positive duty can be investigated by VEOHRC under the EO Act.
The measures required to meet the positive duty are similar to the measures that must be taken to avoid being found vicariously liable for discrimination. However, unlike vicarious liability, the positive duty requires measures taken to eliminate discrimination and operates regardless of whether a discrimination complaint has been made. The positive duty therefore requires a higher standard of proactive conduct by Uber. Complying with the positive duty would improve Uber’s service and make it more appealing to its users and the broader community.
What are other platforms doing?
Uber is not the only company taking a ‘hands off’ approach and trying to distance itself from the service providers who deliver services on its app.
6Organisations such as Mable and Airtasker assert that the service providers on their app are not employees or independent contractors.
Airtasker advises that it operates an online platform allowing users to connect through the Airtasker platform. Mable presents itself as simply facilitating a platform for customers and support workers to connect, and that it is not a party to any contract for care services.
This ‘hands off’ position of platform providers has been examined by the Disability Royal Commission, and was subject to scrutiny in the NSW Parliament.7 It also does not align with community expectations and the beneficial objectives of anti-discrimination legislation.
How we can help
Our safeguarding and discrimination team are skilled in guiding organisations to act consistently with their anti-discrimination obligations while balancing this with their practical and commercial reality. Our team can provide peace of mind in navigating any allegations of discrimination particularly where the scope of laws is yet to be tested.
If you would like to discuss how we can support your organisation, our team is here to help. Please contact Skye Rose, Tal Shmerling or Abbey Dalton if you would like further support.
Contact us
Please contact us for more detailed and tailored help.
Subscribe to our email updates and receive our articles directly in your inbox.
Disclaimer: This article provides general information only and is not intended to constitute legal advice. You should seek legal advice regarding the application of the law to you or your organisation.