Challenges for trade unions arise from work fragmentation, new technologies, and the Gig Economy

Trade union representation faces mounting challenges as a result of the structural transformations in the labour market driven by new technologies and the expansion of the so-called Gig Economy. This model of work, characterised by flexible arrangements, digital platforms, and on-demand services, has created uncertainties regarding traditional mechanisms of collective organisation and the protection of labour rights.

In light of this scenario, the present article seeks to analyse the difficulties encountered by trade unions in representing such workers, the existing regulatory gaps, and potential alternatives to ensure a balance between technological innovation and social protection.

The fragmentation of work and the weakening of collective organisation

The Gig Economy is defined by the provision of on-demand services mediated through digital platforms, whereby workers operate autonomously without formal employment relationships. This reality fosters an environment of extreme fragmentation, complicating collective organisation, which has traditionally been structured around well-defined professional categories.

Under classic labour relations models, trade unions play an essential role in collective bargaining, the establishment of minimum rights, and protection against abuses. However, decentralisation and the individualisation of work hinder the formation of a collective identity among platform workers, who often have differing working hours, wages, and conditions.

In Brazil, the Consolidation of Labour Laws (CLT) stipulates that union representation is determined by economic and professional categories, a framework that may prove inadequate for workers within the Gig Economy, whose legal classification is often ambiguous or contentious.

Regulatory gaps and legal challenges

Brazilian labour legislation, although having evolved over time, still lacks specific provisions to regulate trade unions' engagement with the realities of platform-based work. The difficulty in classifying such workers as employees or self-employed individuals generates uncertainties regarding their legal protection and the scope of collective rights.

The Honourable Superior Labour Court has recognised employment relationships between Uber and food delivery workers. Furthermore, the Federal Supreme Court has acknowledged the general repercussion of the issue raised in Extraordinary Appeal No. 1.446.336 (Topic 1291), which addresses the recognition of an employment relationship between Uber and an app-based driver.

However, the absence of a clear regulatory framework allows for diverging interpretations, complicating the standardisation of rights and forms of collective representation. Additionally, traditional trade union organisation faces resistance from digital platforms themselves, which often argue that their service providers are individual entrepreneurs rather than employees, thereby distancing themselves from the obligation to engage in collective bargaining or provide employment benefits.

Alternatives and potential solutions to strengthen trade union representation

To overcome these challenges and enhance trade union representation in the digital age, several strategies may be pursued:

Reformulation of the union model

The Brazilian union model, based on the principle of a single union per category, could be reconsidered to accommodate more flexible forms of organisation. The establishment of specific unions for platform workers, regardless of the recognition of employment relationships, might be a feasible alternative. International experiences indicate that in certain countries, such as Spain and the United Kingdom, associations and unions dedicated exclusively to app-based drivers, couriers, and other Gig Economy professionals have emerged. These initiatives have been pivotal in pressuring legislators and securing minimum working conditions.

Collective bargaining and minimum rights

Even in the absence of formal employment relationships, collective bargaining could serve as a means of establishing minimum standards for remuneration, working hours, and occupational safety for platform workers. Initiatives such as the collective agreement reached in Spain between unions and delivery companies demonstrate that progress is possible in this direction, ensuring rights without compromising the flexibility of business models. In Brazil, progress along these lines might involve broadening the scope of collective bargaining, allowing unions to also represent self-employed workers who are economically dependent on digital platforms.

State regulation and oversight

The State plays a crucial role in regulating digital labour and ensuring fair conditions for workers. Complementary Bill No. 12/2024—currently pending consideration by the Industry, Trade and Services Commission (CICS)—addresses the employment relationships mediated by app-based operators of private transport services and establishes mechanisms for social security inclusion and other rights to improve working conditions. Moreover, enhancing oversight mechanisms to deter abusive practices and ensuring that platforms do not exploit their dominant position to impose disadvantageous conditions on workers is essential for balancing capital and labour relations in the digital era.

Trade union representation faces significant challenges in light of the fragmentation of work brought about by new technologies and the Gig Economy. The traditional model of collective organisation must be adapted to the realities of digital labour, ensuring that these professionals have access to fundamental rights without compromising the sector's innovation and flexibility.

The creation of new forms of unionisation, the expansion of collective bargaining, and State regulation are potential pathways to strengthen the protection of platform workers. It is incumbent upon public authorities, trade unions, and civil society to debate solutions that reconcile technological advancements with social justice, ensuring that the future of work is grounded in more balanced and dignified relationships for all.