Uber has confirmed that it will give its workers pensions following a recent Supreme Court decision that ruled its employees were not self-employed.
Uber is expected to pay its approximately 70,000 drivers at least the National Living Wage (£8.72 an hour).
The ruling also brings drivers within the scope of auto-enrolment, provided they work enough hours to meet the minimum earnings trigger of £10,000 a year.
Once the National Living Wage increases to £8.91 an hour in April, Uber drivers will need to work at least 22 hours a week to qualify for auto-enrolment.
Industry experts have said that the ruling and subsequent pension enrolment could have a wider effect on the gig economy, possibly opening the door to other gig workers becoming eligible for auto-enrolment.
However, the ruling does not apply to Uber Eats drivers and there are some concerns that Uber will not count the hours that drivers are waiting for customers as payable time.