Thousands of Aussie workers to get pay rise in ‘world-leading’ changes

Hundreds of thousands of gig workers will benefit from a new set of enforceable minimum standards including a new minimum rate of pay from today.

On-demand delivery drivers, including those who deliver food, alcohol, or groceries through app orders, will see pay conditions solidified and benefit from insurance for on-the-job injuries, among other changes.

The Fair Work Commission’s new minimum standards order came after a joint submission from the Transport Workers Union, UberEats, and DoorDash, and was initially announced earlier this year.

Under the new terms, on-demand delivery drivers will be paid a minimum wage of between $31.30 and $32 an hour depending on the vehicle they use, which will rise to between $31.80 and $32.50 an hour from January 1 next year.

Workers will be responsible for ensuring their vehicle is registered and road-worthy, and will also pay any fines or penalties arising from improper parking or road use.

But employers are required to take out accident insurance on behalf of employees.

TWU national secretary Michael Kaine said the new standards were “world-leading”.

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“Australians have come to rely on having food delivered to our doorstep from the magical click of a button, rain, hail or shine,” he said.

“But for too long gig workers have languished outside our workplace protections with below minimum pay, no voice at work and no protections, under deadly pressure to rush to make ends meet and avoid deactivation.”

The TWU has recorded 25 deaths of gig workers on Australian roads since 2017.

“This historic decision from the Fair Work Commission, after years of campaigning from gig workers, is set to give them rights and protections for the first time,” Kaine said.

“This is an absolute world-leading set of standards in the gig economy which, when passed, will represent life-changing improvements for workers who were left behind by Coalition governments for over a decade.”

The minimum standards order also includes new stipulations about pay transparency, protections against worker “deactivation”, and union representation.