Exactly one week after the Federal Supreme Court ruled that Uber was liable for their employees’ salary and social security payments, the international company has returned to the streets of Geneva. The Genevan Department of Economy and Employment confirmed that an agreement had been reached with the company and that Uber will continue to operate taxis in the city.
On June 4, the Federal Supreme Court in Lausanne ruled that taxi drivers that work for Uber in Geneva are not freelancers or self-employed, but employees of the company. This makes Uber liable to pay for workers' social security and salaries, at an estimated cost of 21 million Swiss francs.
Soon after, the company announced that it would be shutting down services in Geneva, with experts predicting that the court decision would mean the end of Uber in other Swiss cities like Zurich, Basel and Bern. However, after just one week of negotiations, cantonal authorities announced that they had reached an agreement with the company.
“Negotiations were constructive with Uber management. I am very happy to have been able to reach an agreement,” said Fabienne Fischer, head of the Department of Economy and Employment in the city. She confirmed that Uber had agreed to continue operating in the city and to pay its drivers' salaries and social security contributions for the duration of their work contracts.
Jean-Pascal Aribot, General Manager of Uber Switzerland, said that the agreement allows 1.700 drivers to resume work. He conceded that “the main reason drivers use our app is the flexibility it offers and the fact that they can be their own boss,” but said, “We will do our best to support them in this new model.”