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ABSTRACT
The platform economy has generated new business models and employment types, posing new challenges to China’s labour law and social security law. This article collects 324 cases between 2017 and 2020 in which Chinese courts need to determine the employment status of food delivery riders as platform workers. This paper focuses on whether ‘special delivery riders’ under the agent model and ‘crowdsourced riders’ under the crowdsourcing model are identified as employees in these cases and analyse relevant factors considered by judges when they make decisions. More than half of the Chinese judges hold that special delivery riders are employees of agents, while crowdsourced riders are barely found as employees; most judges are reluctant to deem platforms as the liable employers. In general, the algorithm-based management, business organization, and relevant agreements etc. deployed by food delivery platforms may make them free from employer obligations and liabilities, and policymakers often have a tolerant and positive attitude towards the platform employment. Relevant latest policies show the government’s willingness to give platform workers more protection, and the SPC Stable Employment Opinions has specified the criteria for identifying employment relationship in the platform employment. Nevertheless, it takes time to see how they will be implemented.
Acknowledgements
In addition, the authors are appreciative of the two anonymous peer reviewers, whose constructive critique was instrumental in honing and augmenting the manuscript’s quality. Furthermore, the authors convey their heartfelt appreciation to the dedicated editorial team at the Asia Pacific Law Review and Taylor & Francis. Their outstanding editing expertise and meticulous attention to detail have considerably enhanced the final publication's quality, ensuring a polished and well-presented piece.
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Notes
1 Valerio De Stefano, ‘The Rise of the “Just-in-Time Workforce”: On-Demand Work, Crowdwork and Labour Protection in the Gig-Economy’ (ILO Conditions of Work and Employment Series No.71 2016) <www.ilo.org/wcmsp5/groups/public/---ed_protect/---protrav/---travail/documents/publication/wcms_443267.pdf.> accessed 6 May 2022; Tianyu Wang, ‘Interpretation Path and Regulation System of “Employee-like Persons” in Internet Platform Employment’ (2020) 42(3) Global Law Review 85. 王天玉,《互联网平台用工的类雇员解释路径及其规范体系》,《环球法律评论》2020 年第 3 期, 第 85 页.
2 Youxuan Lai, ‘Food Delivery Riders Stuck in the System’ (2020) 8 People 71. 赖祐萱, 《外卖骑手，困在系统里》,《人物》, 2020 年第 8 期, 第 71 页.
3 Ibid.
4 E.g. Cour de Cassation, Chambre sociale, 28.11.2018 – 17-20.079, arrêt no. 1737, CLI:FR:CCASS:2018:SO01737; 4.3.2020 – 19-13.316, arrêt no. 374, ECLI: FR:CCAS:2020:SO00374; Corte Suprema di Cassazione 24.1.2020 – 11629/2019; BAG, 1.12.2020, NJW 2021, 1551. See Claudia Schubert, Crowdworker: Arbeitnehmer, arbeitnehmerähnliche Personen oder Selbständiger – Zugleich eine Besprechung zum Urteil des LAG München v. 4.12.2019, RdA 2020, 248 ff.
5 ‘Worker’ in the UK is an employment classification that carries that right to the national minimum wage, union recognition and holiday pay. <www.gov.uk/employment-status/worker> accessed 15 January 2023.
6 Employment Appeal Tribunal, 11.5.2018, No. UKEAT/0289/17/LA, Addison Lee Ltd. v Gascoigne, 2018 ICR 1826; 14.11.2018, No. UKEAT/0037/18/BA, Addison Lee Ltd. v Lange et al; Uber BV v Aslam [2018] EWCA (Civ) 2748 (Eng.); Uber BV v Aslam [2021] UKSC 5.
7 E.g. Douglas O’Connor, et al., v Uber Technologies Inc 82 F. Supp 3d 1133 (ND Cal 2015); Cotter v Lyft, Inc 60 F. Supp 3d 1067 (ND Cal 2015).
8 The ABC test was developed in Dynamex Operations W., Inc. v Superior Ct., 416 P.3d 1, 7–9 (Cal. 2018).
9 Proposition 22 Exempts App-Based Transportation and Delivery Companies from Proving Employee Benefits to Certain Drivers. <https://lao.ca.gov/ballot/2020/Prop22-110320.pdf> accessed 16 January 2023.
10 Lawson v Grubhub, Inc., 13 F.4th 908, 944 (9th Cir. 2021).
11 Julien Chaisse and Nilanjan Banik, ‘The Gig Workers Facing the Regulator: The Good, the Bad, and the Future’ (2022) 31(1) Transnational Law & Contemporary Problems 1, 8.
12 Different from some other countries like Germany, a natural person does not qualify as an employer for the purpose of China’s labour law. Thus, the service relationship between a worker and a natural person can only be protected by civil law in China.
13 See Tian Yan, ‘The Historical Logic of Platform Employment Regulations: From the Perspective of the Subordination Theory of Labour Relations’ (2021) 4 China Law Review 43. 阎天,《平台用工规制的历史逻辑：以劳动关系的从属性理论为视点》,《中国法律评论》2021 年第 4 期, 第 43 页.
14 Jinhao Shen, ‘Nested Incentives and Closed-Loop Monitoring: Labour Control in the Employment of Internet Platforms – Taking the Takeaway Industry for Example’ (2020) 34(6) Journal of China Institute of Industrial Relations 63. 沈锦浩,《嵌套激励与闭环监控:互联网平台用工中的劳动控制 – 以外卖行业为例》,《中国劳动关系学院学报》2020 年第 6 期, 第 63 页. ‘Meituan’ and ‘Ele.me’ are currently two largest food delivery platforms in China, virtually monopolizing the entire food delivery market.
15 Chang Zhou, ‘Digital Labor Platforms and Labor Protection in China’ (ILO Working Paper 11 2020) 12.
16 E.g. Tianyu Wang and Fang Lee Cooke, ‘Internet Platform Employment in China: Legal Challenges and Implications for Gig Workers through the Lens of Court Decisions’ (2021) 76(3) Relations industrielles/Industrial Relations 541; Qingjun Wu and others, ‘Labor Control in the Gig Economy: Evidence from Uber in China’ (2019) 61(4) Journal of Industrial Relations 574; Chenguo Zhang, ‘Sharing Economy: Challenges for the Labor Market and the Labor Law in China and Globally: A Micro-Comparative Analysis of the EU, and Asia’ (2022) 23(4) European Business Organization Law Review 1025.
17 See Shen (n 14) 65; Zhou (n 15) 9.
18 See Qian Wang, ‘Identification of Labour Relations and Liabilities of Platforms Engaged in Triangular Employment Relationships’ (2020) 469(12) Legal Science 176. 王茜,《平台三角用工的劳动关系认定及责任承担》,《法学》2020 年第 12 期, 第 176 页.
19 See Shenglan Li and Lihua Jiang, ‘A New Mode of Labour Time Control and Fake Experience of Freedom: A Study on the Labour Process of Take-out Platform Riders’ (2020) 35(6) Sociological Studies 91. 李胜蓝、江立华,《新型劳动时间控制与虚假自由：骑手的劳动过程研究》,《社会学研究》2020 年第 6 期, 第 91 页.
20 For the clarity and understanding, the third party introduced by the platform under the agent model is referred to as ‘agent’, and the third party under the crowdsourcing model is ‘crowdsourcing company’. Subagents or sub-outsourcing companies are considered as agents or outsourcing companies, too.
21 E.g. in the case ‘labour disputes between Zhang Shuangqing and Beijing Branch of Lazhasi Network Technology (Shanghai) Ltd’ (2020) Jing 0105 Minchu No.38306 (张双清与拉扎斯网络科技(上海)有限公司北京分公司劳动争议(2020)京0105民初38306号), the ‘Fengniao Crowdsourcing User Agreement’ signed by the rider states that ‘“Fengniao Crowdsourcing” is a platform that provides intermediary services to users and those with delivery needs through information push … You know that Fengniao Crowdsourcing only provides information matching service, and no labour/employment relationship is established between you and Fengniao Crowdsourcing.’
22 See Li and Jiang (n 19) 97.
23 Jinhao Shen, ‘Ethnographic Study on Traffic Violations of Take-Out Delivery Clerks’ (2020) 20(2) Journal of Chongqing Jiaotong University (Social Sciences Edition) 30. 沈锦浩,《外卖骑手交通违法行为的民族志研究》,《重庆交通大学学报》2020年第2期, 第30页.
24 When discussing Chinese cases, this paper also attempts to briefly introduce the classic decisions involving the identification of employment status of platform workers in several western countries from a comparative perspective.
25 The platform ‘China Judgements Online’ (https://wenshu.court.gov.cn/) is supported by the Supreme People’s Court and offers the largest collection of decisions from Chinese courts.
26 E.g. the case ‘labour disputes between Yang Bo and Chongqing Fengyu Network Technology Ltd et al.’ (2020) Yu 03 Minzhong No.1492. 杨波与重庆市丰渝网络科技有限公司等劳动争议(2020)渝03民终1492号.
27 According to Article 1191 of Chinese Civil Code (Article 34 of the repealed Tort Liability Law), ‘where an employee causes damage to another person in connection with the performance of his work, their employer shall assume tort liability'. Although the Supreme People’s Court has interpreted that this provision should not strictly depend on the existence of an employment relationship to apply, in practice the third party often argues that the rider is the employee of the platform or agent.
28 Yingmao Tang, ‘The Decisive Factor in Promoting Judicial Openness: The Data Statistics of Judicial Judgments’ (2018) 4 Tsinghua University Law Journal 35. 唐应茂, 《司法公开及其决定因素:基于中国裁判文书网的数据分析》,《清华法学》2018年第4期, 第35页.
29 Chao Ma, Xiaohong Yu, and Haibo He, ‘Big Data Analysis: Report on the Online Disclosure of Judicial Judgements in China’ (2016) 4 China Law Review 195. 马超、于晓虹、何海波, 《大数据分析:中国司法裁判文书上网公开报告》, 《中国法律评论》2016年第4期, 第195页.
30 This ratio is calculated by dividing the number of judgments disclosed on the China Judgments Online by the total number of judgments from 2017 to 2020. The relevant data are available on the China Judgments Online (https://wenshu.court.gov.cn/) and the Judicial Statistics Bulletin published on the website of the Supreme People's Court (http://gongbao.court.gov.cn/).
31 Quanxing Wang, Labour Law (4th edn, Law Press China, 2017) 510. 王全兴,《劳动法》, 法律出版社2017年第4版，第510页.
32 Qiao Jin and Jun Zhao, ‘Tirple Disembedding: The Structural Dilemma of Take-Away Riders Based on Analysis of 671 Questionnaires in Shanghai’ (2021) 4 Youth Research 78. 金桥、赵君,《三重脱嵌:外卖骑手的结构性困境探究 – 基于上海671份调查问卷的调查分析》,《青年学报》2020年第3期, 第78页.
33 Xiangnan Feng, ‘A Study on the Status of Labour Rights and Benefits of Delivery Riders in Beijing and Relevant Contributing Factors’ (2018) 33 Labour Security World 8. 冯向楠, 《北京地区外卖员劳动权益保障状况及影响因素研究》, 《劳动保障世界》2018年第33期, 第8页.
34 Zhou (n 15).
35 E.g. the case ‘labour disputes between Lazhasi Information Technology (Shanghai) Ltd and Shilei’ (2019) E 02 Minzhong No.430. 上海拉扎斯信息科技有限公司、石磊劳动争议(2019)鄂02民终430号.
36 E.g. the case ‘labour disputes between Antu County Fu Kai Domestic Service Ltd and Gao Bin’ (2020) Ji 2426 Minchu No.1584. 安图县富凯家政服务有限公司与高斌劳动争议(2020)吉2426民初1584号；the case ‘labour disputes between Karamay Jinmiao E-commerce Service Ltd and Sun Xijuan’ (2018) Xin 02 Minzhong No.475. 克拉玛依市金淼电子商务服务有限公司与孙希娟劳动争议(2018)新02民终475号.
37 See Wenzhen Wang and Wenjing Li, ‘The Impact of the Development of the Platform Economy on Labour Relations in China’ (2017) 1 China Labor 4. 王文珍、李文静, 《平台经济发展对我国劳动关系的影响》,《中国劳动》2017年第1期，第4页.
38 E.g. the case ‘disputes over the determination of employment relations between Xuzhou Huizhan Network Technology Ltd and Yu Yanjun’ (2020) Su 12 Minzhong No.1372. 徐州汇展网络科技有限公司与俞言俊确认劳动关系纠纷(2020)苏12民终1372号.
39 E.g. the case ‘labour disputes between Karamay Jinmiao E-commerce Services Ltd and Sun Xijuan’ (n 36).
40 E.g. the case ‘labour contract disputes between Lazhasi Information Technology (Shanghai) Ltd and Zhou Guangli’ (2019) Hu 02 Minzhong No.3226. 上海拉扎斯信息科技有限公司与周广力劳动合同纠纷(2019)沪02民终3226号.
41 E.g. the case (n 38).
42 E.g. the case ‘disputes over the determination of employment relations between Wuhan Xinyonglin Trade Ltd and Zheng Guifeng’ (2020) E 0112 Minchu No.3116. 武汉鑫永林贸易有限公司与郑桂峰确认劳动关系纠纷(2020)鄂0112民初3116号.
43 E.g. the case ‘disputes over the determination of employment relations between Gao Chengshun, Dong Lizhen and Guizhou Fanfou E-commerce Ltd’ (2020) Yun 25 Minzhong No.2001. 高成顺、董丽珍与贵州饭否电子商务有限公司确认劳动关系纠纷(2020)云25民终2001号.
44 E.g. the case ‘labour disputes between Longyan City Julongyi E-commerce Ltd and Yangjun’ (2020) Min 0802 Minchu No.1517. 龙岩市聚龙义电子商务有限公司与杨军劳动争议(2020) 闽0802民初1517号.
45 E.g. the case ‘labour disputes between Xing Zhenjie and Henan Tianxiawuzei Environmental Protection Technology Ltd’ (2018) Yu 0928 Minchu No.7615. 邢振杰与河南天下无贼环保科技有限公司劳动争议(2018)豫0928民初7615号.
46 E.g. the case ‘labour disputes between Ceng Langmin and Xuchang Wolide Technology Ltd’ (2019) Yu 10 Minzhong No.3125. 岑朗铭、许昌沃立德科技有限公司劳动争议(2019)豫10民终3125号.
47 E.g. the case ‘labour disputes between Gu Wenfang and Shanghai Yizhong International Freight Agency Ltd’ (2020) Hu 0118 Minchu No.3496. 顾文芳与上海轶众国际货运代理有限公司确认劳动关系纠纷(2020)沪0118民初3496号.
48 E.g. the case (n 44).
49 E.g. the case (n 35).
50 E.g. the case ‘labour disputes between Cao Yong and Anhui Rongyong Trade Ltd’ (2020) Wan 1302 Minchu No.7939. 曹勇诉安徽荣佑贸易公司劳动争议(2020)皖1302民初7937号.
51 Cour de Cassation (n 4).
52 Ibid.
53 Corte Suprema di Cassazione (n 4).
54 Ibid.
55 LAG München v. 4.12.2019 – 8 Sa 146/19.
56 Ibid.
57 Ibid.
58 ‘CAC Decides that Deliveroo Riders Are Independent Contractors’, Bristows. <www.bristows.com/viewpoint/articles/cac-decides-that-deliveroo-riders-are-independent-contractors/> accessed 15 January 2023.
59 Independent Workers Union of Great Britain v Central Arbitration Committee and Deliveroo [2021] EWCA Civ 952.
60 Matter of Vega (Postmates, Inc. – Comm’r Labor), 35 N.Y.3d 131, 140 (N.Y. 2020).
61 E.g. the case ‘labour disputes between Hu and Yichang Xixu Internet Technology Ltd’ (2020) E 0591 Minchu No.833. 胡某与宜昌溪旭网络科技有限公司劳动争议(2020)鄂0591民初833号.
62 Lai (n 2) 71.
63 E.g. the case ‘labour disputes between Liu Jingchao and Weihai Fengniao Delivery Services Ltd’ (2017) Lu 10 Minzhong No.1858. 刘靖超、威海蜂鸟配送服务有限公司劳动争议（2017）鲁10民终1858号.
64 Long Chen, ‘Games, Redistribution of Control Power and Technology: Research on Management Strategy of Platform Company Taking the Management of One Take-Away Platform in Beijing as an Example’ (2020) 37(4) Human Resources Development of China 113. 陈龙，《游戏、权力分配与技术:平台企业管理策略研究 – 以某外卖平台的骑手管理为例》,《中国人力资源开发》, 2020年第4期，第113页.
65 Some delivery sites require riders to attend morning meetings. E.g. the case ‘employment contract disputes between Hou Jie and Shanghai Tenghao Talent Service Ltd’ (2019) Hu 0118 Minchu No.7971. 侯杰与上海昊腾人才服务有限公司劳动合同纠纷(2019)沪0118民初7917号.
66 Lai (n 2) 71.
67 Long Chen, ‘Labour Order under Digital Control: A Study on the Labour Control of Takeout Platform Riders’ (2020) 35(6) Sociological Studies 113. 陈龙,《数字控制下的劳动秩序：骑手的劳动控制研究》,《社会学研究》2020年第6期, 第113页.
68 E.g. the case (n 21).
69 E.g. the case ‘employment contract disputes between Xuzhou Huizhan Internet Technology Ltd and Huang Shenqing’ (2020) Su 12 Minzhong No.1379. 徐州汇展网络科技有限公司与黄申庆确认劳动关系纠纷(2020)苏12民终1379号.
70 E.g. the case ‘disputes over the determination of employment relations between Wang Jinqiang and Xuzhou Yufengda E-commerce Services Ltd’ (2020) Su 01 Minzhong No.2138. 王晋强与徐州市御风达电子商务有限公司确认劳动关系纠纷(2020)苏01民终2138号.
71 E.g. the case ‘labour disputes between Zhang Wendong and Fusong County Xinxing Commercial Trade Ltd and Fusong County Huixuan Convenient Service Station’ (2020) Ji 06 Minzhong No.801. 张文冬与抚松县鑫兴商贸有限公司、抚松县惠暄便捷服务站劳动争议(2020)吉06民终801号.
72 E.g. the case (n 45).
73 E.g. the case ‘disputes over the determination of the employment relation between Suzhou Yunting Internet Technology Ltd and Meng Jinping’ (2020) Su 05 Minzhong No.2639. 苏州云霆网络科技有限公司与蒙景平确认劳动关系纠纷(2020)苏05民终2639号.
74 See ‘How Can Laws Regulate the Food Delivery Platform Employment in the Food Delivery Industry?’ (Zhicheng Workers, 2021) <https://mp.weixin.qq.com/s/FIdsv8K-tESolDNLlXGMog> accessed 22 December 2021; E.g. in the case (n 73), the rider Meng Jinping registered as an individual business named as ‘Yushan Town, Kunshan City Good Work Commercial Service Studio No.220’. Accordingly, the agent as defendant in this case argued that the rider in dispute should not be determined as legally qualified employees.
75 E.g. the case (n 73); the case (n 44).
76 E.g. the case ‘employment contract disputes between Du Mingxue and Shanghai Shufeng Industrial Ltd’ (2000) Hu 0116 Minchu No.6071. 杜明学与上海曙锋实业有限公司劳动合同纠纷(2020)沪0116民初6071号.
77 See ‘Statistical Bulletin on Human Resources and Social Security Development 2020’ (Ministry of Human Resources and Social Security of the People’s Republic of China, 2021) <www.mohrss.gov.cn/SYrlzyhshbzb/zwgk/szrs/tjgb/202107/t20210726_419319.html> accessed 25 December 2021.
78 See ‘Report 2019 and 2020 on the Meituan Rider Employment during the Epidemic’ (Meituan Research Institute, 2021) <https://about.meituan.com/research/report> accessed 25 December 2021.
79 Ibid.
80 See the Ministry of Human Resources and Social Security’s reply to the proposal No. 2872 (Social Management No. 211) of the Second Session of the 13th National Committee of the Chinese People’s Political Consultative Conference (CPPCC) on 4 September 2019. 人力资源社会保障部对政协十三届全国委员会第二次会议第2872号(社会管理类211号)提案的答复<www.mohrss.gov.cn/xxgk2020/fdzdgknr/zhgl/jytabl/tadf/201912/t20191206_345613.html> accessed 5 February 2023.
81 E.g. the case (n 40).
82 E.g. the case ‘disputes over the determination of the employment relation between Chongqing Daosheng Intra-City Logistics Ltd and Yang Hongjun’ (2019) Yu 0101 Minchu No.1476. 重庆市道生同城物流有限公司与杨红军确认劳动关系纠纷(2019)渝0101民初1476号.
83 Schubert (n 4).
84 Shen (n 23) 31.
85 E.g. the case (n 73).
86 See Weiming Ye and Rongxing Ouyang, ‘Reshaping Time and Space: A Study on Algorithm-Mediated Platform Labour’ (2020) 2 Zhejiang Academic Journal 167. 叶韦明、欧阳荣鑫, 《重塑时空:算法中介的网约劳动���究》,《浙江学刊》2020年第2期，第167页.
87 See Chen (n 64) 120.
88 The case number is unavailable officially publicized document, and the decision is made by the labour dispute arbitration commission <www.mohrss.gov.cn/SYrlzyhshbzb/ztzl/ldrszytjzc/> accessed 6 May 2023.
89 See Zhu Xiao, ‘The Third Category of Workers: Theoretical Reflection and Alternative Paths’ (2018) 6 Global Law Review 79. 肖竹, 《第三类劳动者的理论反思与替代路径》,《环球法律评论》2018年第6期, 第79页.
90 Ibid.
91 See Wang (n 18); Yu Lou, ‘Staff Identification of New Employment Forms and Construction of Protection System of Labour Rights and Interests: A Research Based on Comparative Law’ (2021) 4 China Law Review 61. 娄宇, 《新就业形态人员的身份认定与劳动权益保障制度建设：基于比较法的研究》,《中国法律评论》2021年第4期, 第61页.
92 See Zengyi Xie, ‘China’s Legislative Approach to Protecting Platform Workers’ Labour Rights and Interests’ (2021) 1 Peking University Law Journal 104. 谢增毅, 《平台用工劳动权益保护的立法进路》, 《中外法学》2022年第1期, 第104页.
93 Ibid.
94 Literature on collective bargaining relating to platform workers see e.g. Kate Minter, ‘Negotiating Labour Standards in the Gig Economy: Airtasker and Unions New South Wales’ (2017) 28(3) The Economic and Labour Relations Review 438; Hannah Johnston, ‘Labour Geographies of the Platform Economy: Understanding Collective Organizing Strategies in the Context of Digitally Mediated Work’ (2020) 159(1) International Labour Review 25.
95 See e.g. Dong Yan, ‘Unveiling the Legal Effect of Collective Agreements in China’ (2019) 42(2) Employee Relations 366.