The Transport Workers Union and Australia's two largest on-demand delivery platforms DoorDash and Uber Eats together made a joint submission to the Fair Work Commission for the establishment of a set of minimum standards for workers in the on-demand economy.
The proposed Minimum Standards Order (MSO) includes legally enforceable new protections for workers and baseline standards that the TWU has campaigned for over many years, marking a meaningful step forward that strengthens protections and provides certainty for thousands of platform workers.
The agreement demonstrates how minimum standards for platform workers can be achieved while preserving the flexibility that is inherent in platform work. The proposal strikes a balance to introduce a fair minimum rate of pay for on demand delivery workers for the first time, while supporting the sustainability of the sector.
DoorDash, Uber Eats and the TWU have agreed to key standards including:
- Minimum safety net pay rates for all classes of transport types;
- Dispute resolution processes;
- A voice for platform workers, via engagement and feedback mechanisms;
- Representation rights; and
- Accident insurance for injured workers
This landmark achievement is the latest milestone in an ongoing collaboration between the TWU and the digital labour platforms, to improve the quality, safety and security of platform work.
Digital platforms play an important role in providing consumers with the affordability and convenience they value, while supporting local businesses across a variety of sectors and helping drive productivity and economic participation.
While recognising the significance of this step, the parties look forward to further engaging in the next stage of the Fair Work Commission process to establish minimum standards for platform workers.
Michael Kaine, National Secretary of TWU said
"Gig workers have campaigned for years for a better industry and for the first time in the world, there could soon be a minimum floor that represents a life-changing increase to their pay.
"After constructive discussions with Uber Eats and DoorDash, this is a significant step towards a fairer gig economy.
"We look forward to the Fair Work Commission considering these new standards and working towards a strong foundation for fairness in the gig economy.
Simon Rossi, VP DoorDash APAC said
"Delivery workers keep Australia moving, helping busy households and supporting small businesses. This proposal shows we can work together to lift standards and still enable the flexibility people rely on, under the Government's new laws.
"The on-demand economy is now a vital part of how Australians live, work and earn, so it's important that working standards evolve too.
"This proposal builds on DoorDash's 2022 agreement with the Transport Workers' Union calling for enforceable standards for the industry. We are pleased to be working with them again on a practical, industry-wide proposal that can put a stronger safety net in place."
Ed Kitchen, Managing Director for Uber Eats Australia and New Zealand said
"Uber Eats has long supported sensible and modern reforms that strengthen protections and benefits for delivery people, while maintaining the flexibility that is central to gig work. We believe fair standards and flexibility should not be mutually exclusive. They are both essential to ensuring gig work continues to meet the expectations of Australians and reflects the important role delivery people play in their communities.
"Over the past four years, we have worked closely with the TWU and the Government to help raise the bar – from signing a landmark Statement of Principles with the TWU across both rideshare and food delivery in 2022, to today's joint submission with DoorDash and TWU in establishing minimum pay rates and fair standards. After nearly a decade of operating in Australia, we know flexibility is one of the key reasons people choose to gig work. Today's submission is a meaningful step towards building modern laws for modern forms of work, giving delivery people what they value the most – the protection of minimum pay rates, security and flexibility."
