In recent news, popular retailers such as Lush, Uniqlo, and Gymshark have made the decision to stop using freelance retail workers hired through apps like YoungOnes and Temper. This move comes after unions raised concerns about the gig economy companies and the potential lack of employment rights for these workers.
The Trade Union Congress (TUC) took action by writing to the retailers, urging them to reconsider their use of freelance retail workers. The TUC expressed worries about the rise in the use of freelancer apps by retailers, calling it “extremely worrying.” They highlighted the importance of ensuring that all workers receive the rights and protections they deserve, whether they are directly employed or agency workers.
Kate Bell, the assistant general secretary of the TUC, emphasized the need to end this practice immediately to prevent workers from missing out on essential rights such as the legal minimum wage, sick pay, holiday pay, rest breaks, and protection from unfair dismissal. She pointed out the absurdity of classifying these workers as self-employed, likening them to visiting tradesmen rather than integral members of the retail workforce.
Uniqlo, a Japanese-owned fashion retailer, responded by stating that they had briefly used the Temper app to hire workers to supplement their full-time team. However, they have since ceased hiring people via such systems. Uniqlo now recruits for temporary and permanent positions directly or through other channels to ensure that all staff are eligible for applicable employment benefits. They emphasized their commitment to treating employees fairly while upholding high service standards.
Similarly, Lush admitted to hiring fewer than six people through the apps for a short period but stated that this was a one-time occurrence with no plans to use this method in the future. Gymshark, another retailer involved in the controversy, declined to comment but is also understood to have stopped using the apps for recruitment in response to concerns raised by unions.
Overall, the decision by Lush, Uniqlo, and Gymshark to discontinue the use of freelance retail workers hired through gig economy apps reflects a growing awareness of the importance of ensuring fair treatment and rights for all workers. This development serves as a reminder of the ongoing challenges and debates surrounding the gig economy and the need for companies to prioritize the well-being of their employees.