In the past decade, platform work, from food delivery apps to taxi and ride hailing platforms, has rapidly expanded to become one of the fastest growing forms of work. Member States, including Ireland, must implement the Directive by 2 December 2026, creating a relatively short window for compliance planning for businesses operating in Ireland.

This briefing will clarify which employers fall within the scope of the Directive and signpost the key obligations for those employers. This briefing is the first in a series by our Employment Group on the Platform Work Directive. We will publish further briefings to assist employers in navigating these imminent changes, namely The EU Platform Work Directive – A Legal Deep Dive for Employers and The EU Platform Work Directive – A Practical Compliance Road Map for Employers.

What is platform work?

Platform work is a type of work organised through a digital labour platform, usually a website or mobile app, that connects individuals who perform tasks or services with customers who request them. The platform acts as an intermediary and typically uses technology to allocate tasks, manage workflow, or monitor performance. It is estimated that, as of 2022, there were over 28 million people performing platform work in the EU and that number was predicted to rise to 43 million by 2025.

The rise in platform work has led to concerns in relation to misclassification of platform workers, opaque algorithmic management and gaps in data protection safeguards. The Directive’s core purpose is to better protect platform workers, by introducing a presumption of employment where indicators of control exist, establishing transparency obligations around automated monitoring and decision‑making, and strengthening protections concerning worker data.

Does this Directive apply to my organisation?

The Directive applies to “digital labour platforms”. This is a natural or legal person providing a service which meets the following requirements:

• It is provided, at least in part, at a distance through electronic means.
• It is provided at the request of the recipient of the service.
• It involves, as a necessary and essential component, the organisation of work performed by individuals in return for payment, irrespective of whether that work is performed online or in a certain location.
• It is provided with the use of automated monitoring or decision-making systems.

The language of this definition is intentionally broad with the result that many businesses may fall within the scope of the Directive without realising it. For example:

• The definition captures not only on‑location work, such as taxi/ride hailing, food delivery and courier services but also online platform work, such as remote micro‑tasks and online freelancing.
• The Directive will apply irrespective of an organisation’s place of establishment provided that the work organised through the platform is performed in the EU.
• The Directive will apply even if there is no direct contract between the platform and the worker, or the worker and the service recipient. This prevents platforms from avoiding obligations by inserting intermediaries.

What are the key features of the Directive?

Presumption of employment

The Directive introduces a rebuttable presumption of employment where indicators of control or direction are present. This means that if a platform appears to direct key aspects of how, when, or where work is performed, the default assumption will be that the worker is an employee, not an independent contractor. Businesses will bear the burden of proving otherwise.

This is a major shift for platforms operating in Ireland and aligns with broader scrutiny of employment status following cases such as Karshan (Midlands) Ltd v Revenue Commissioners*, which placed renewed emphasis on control and integration in determining employment status.

Regulation of algorithmic management

For the first time at EU level, the Directive regulates the use of automated systems in managing workers, including automated task allocation, performance evaluation, and decision‑making. Platforms must provide transparency about when such systems are used and ensure meaningful human oversight.

Enhanced data protection and transparency requirements

The Directive introduces additional safeguards around the use of worker data, requiring platforms to disclose how personal data is processed and limiting automated decision‑making that significantly affects working conditions.

What do I need to do next?

With the Directive due to be transposed into Irish law by December 2026, now is the time for employers affected by the Directive to take proactive steps to assess risk, strengthen compliance frameworks, and prepare their organisations for significant regulatory change.

As a first port of call, we recommend that organisations conduct audits to assess whether any aspect of their business falls within the scope of the Directive, keeping in mind the intentionally broad definition of what constitutes platform work for the purposes of the Directive.

To the extent that an organisation is in scope of the Directive, our next briefing will set out in depth the key areas employers will need to focus on to ensure compliance. Our final briefing will provide a practical guide on how to achieve compliance with the Directive.

** For more information on Karshan and the Updated Code of Practice on Determining Employment Status, read our previous briefings:

Supreme Court Delivers Reformulation and Restatement of Law in Domino’s Pizza Case

Updated Code of Practice on Determining Employment Status now published