16 October 2025
Directive (EU) 2024/2831 of the European Parliament and of the Council of 23 October 2024 on Improving Working Conditions in Platform Work (the “Directive”) is due be transposed into Irish law by December 2026.
In this article, we examine the new rules introduced by the EU Platform Workers Directive and the proposed obligations it will place on Irish employers and how they engage their workers.
Platform workers are often automatically considered ‘self-employed’ resulting in them not having access to the same working conditions and social rights as employees in an employment relationship. The Directive aims at improving the working conditions of platform workers by introducing measures to facilitate the determination of the correct employment status of such workers and also protects the personal data of persons performing platform work by increasing the transparency, fairness, human oversight, safety and accountability of relevant algorithmic management procedures in work.
This Directive establishes mandatory rules that apply to all digital labour platforms, irrespective of their place of establishment provided that the platform work organised through that digital labour platform is performed in the EU.
Platform work is work organised through a digital labour platform, performed in the EU by an individual, on the basis of a contractual relationship between the digital labour platform, or an intermediary, and the individual. The Directive applies irrespective of whether there is a contractual relationship between the individual or an intermediary and the recipient of the service.
The main provisions introduced by the Directive are outlined below.
The Directive introduces a legal presumption that a contractual relationship between the digital labour platform, (and by extension the intermediary) and the person performing platform work is an employment relationship where facts indicating direction and control are present. This presumption will only apply from December 2026 and will not have retrospective effect on contractual relationships entered into or ongoing before this date.
The purpose of this legal presumption is to effectively address and correct the power imbalance between the persons performing platform work and the digital labour platform. An employer will be required to rebut this presumption if there is a claim by a worker that they are in fact an employee. If a person is found to be an employee, they will be considered a platform worker for the purposes of the Directive. Employers might ensure all necessary safeguards are in place to reduce the likelihood of a worker being found to be an employee as the presumption (while rebuttable), will lie in favour of the worker.
The Directive prohibits digital labour platforms from processing certain categories of personal data of a person performing platform work by means of automated monitoring systems, or automated decision-making systems including:
The processing of personal data by a digital labour platform is deemed high risk under data protection principles, and therefore a data protection impact assessment must be undertaken with the views of persons performing platform work and their representatives being considered.
Digital labour platforms will be required to provide a written document to a person performing platform work outlining certain information about automated monitoring systems or automated decision-making systems in a “transparent, intelligible and easily accessible form, using clear and plain language”. The information provided must be in a concise, simple and understandable form, and be provided to workers on their first working day (at the latest); prior to the introduction of changes affecting their working conditions, the organisation of work or monitoring of work performance; and at any time upon their request.
The Directive places an obligation on digital labour platforms to ensure human oversight of decisions taken or supported by automated monitoring systems and automatic decision-making systems that affect individuals. Any decision to restrict, suspend or terminate the contractual relationship or the account of the person performing platform work or an equally detrimental decision must be taken by a human being.
Digital labour platforms must carry out an evaluation, at least every two years, of the impact of individual decisions taken or supported by automated monitoring systems or automated decision-making systems on persons performing platform work including, where applicable, their working conditions and equal treatment at work.
Persons performing platform work will be entitled to obtain an oral or written explanation from the digital labour platform for any decision taken or supported by an automated decision-making system without undue delay.
Digital labour platforms will be required to declare work performed by platform workers to the relevant competent authority and provide such authority (which will be identified in the transposing Irish legislation) with the following information:
The Irish government has not yet published draft legislation reflecting how it intends to transpose the Directive (an invitation for views on the Directive has issued by way of public consultation). However, as it will affect all workers engaged in platform work, employers using digital labour platforms should consider putting systems in place to prepare for the transposition of this Directive into Irish law.
In particular, employers should assess workers’ contracts to ensure the true employment relationship status is reflected, and if the worker is considered ‘self-employed’, to keep a record of the work done by the worker to ensure the legal presumption can be successfully rebutted; and gather data on the platform workers which must be declared to the competent authority to satisfy compliance with the new obligations.
At KPMG Law LLP, we will continue to monitor developments of this matter. Our Employment Law team led by Aoife Newton, advises on all aspects of gig economy and platform-based working and the best approach employers can take in anticipation of the transposition of the Directive in Ireland. Please contact a member of the team for more information.
