ADCU calls for lifetime basic income for private hire drivers

The App Drivers and Couriers Union (ADCU) has made a call for a lifetime Basic Income for private hire vehicle drivers affected by the autonomous vehicles rollout, arguing the payments should be funded by app companies and autonomous vehicle operators.

ADCU says it has no confidence in the Government to protect drivers from the impact of automation. Taxi Point report that the union is “calling for a guarantee for drivers currently working on app platforms, a Just Transition Fund funded by companies licensed to operate autonomous vehicles in the UK, and an immediate halt to new private hire vehicle licences in London …

The union argues that the potential impact on London’s public finances and local economy would be substantial if all 113,166 licensed private hire drivers had to claim Universal Credit. ADCU estimates the resulting annual welfare bill would approach £3 billion. It also estimates £3.4 billion in lost earnings and around £6.8 million in lost tax revenue. These figures are the union’s estimates and relate to the scenario it describes.

ADCU’s warning comes as self-driving Pony.ai cars operated by Uber are reported to be under consideration for Manchester. In London, the union says, autonomous vehicle pilots are already under way. It argues that the benefits of large-scale deployment may flow mainly to app companies, while the technology’s data infrastructure is managed outside the UK.”

ADCU General Secretary Cristina Ioanitescu said:

We no longer have any faith that the app companies, regulators or government will ensure a Just Transition for drivers.

Most of our drivers are over 40. Many don’t speak English as a first language, and will struggle to secure suitable alternative employment. We want a Basic Income set at full loss of average earnings. That is what Just Transition means. Living wages. Not CV writing classes, funding for night school courses or job counselling.

They should pay for the Just Transition, and offset the impact on the UK’s economy and welfare bill, out of their untaxed profits. Not drivers. And not UK taxpayers.

Ioanitescu said the union believes companies benefiting from automation should cover the cost of supporting displaced workers. “The same app companies that are generating vast profits and doing everything in their power to minimise their tax liabilities in the UK have more than enough money to compensate the drivers they are looking to replace.”