IT Blog

PARIS (Reuters) – France’s top court has recognized the right of an Uber (UBER.N) driver to be considered an employee, in a ruling that could upend the U.S. firm’s business model and potentially require it to pay more taxes as well as benefits such as paid holidays.

The decision by the Cour de Cassation could also have ramifications for France’s wider “gig economy”, as other taxi and food delivery apps from Deliveroo and JustEat to UberEats rely heavily on self-employed riders to conduct their business without having to meet a range of employee costs and benefits.

The Cour de Cassation upheld a previous decision by a court of appeal, saying the Uber driver could not qualify as a self-employed contractor because he could not build his own clientele or set his own prices,…