Jonathan Maude, a Partner in Vedder Price’s London office and Chair of the UK/EU Law Committee, was recently quoted in an HR Magazine article on the gig economy and the legal implications it has on companies. A ‘gig economy’ is defined as a labor market characterized by the prevalence of short-term contracts or freelance work as opposed to permanent jobs. The term has been dominating the UK headlines recently because of high-profile hearings against Uber and other companies. Besides the issue of worker status, Mr. Maude believes that employers need to bear in mind different day-to-day legal considerations due to this new way of working.

“A lot of organizations want to employ in this way because it gives them a global talent pool and for many it will give them the best that they can get,” says Mr. Maude. “But on the other hand the business needs to be safeguarded appropriately. Whether someone is a worker or an employee is for me almost entry level. The point is that in a business environment, there are exposures that they need to take steps to minimize.”

Mr. Maude goes on to say that with ever-increasing supply chain complexities, more businesses will be subject to company disclosure requirements under the Modern Slavery Act 2015, and they must be able to prove their claims. He believes that organizations need to begin to think about the controls they have in place to ensure that they and their suppliers comply with their own statements. “It comes down to monitoring and having safeguards in place,” he says, “which I don’t think many organizations have.”

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