Australia implements new minimum pay standards for gig delivery workers

New minimum pay and working condition standards for gig economy delivery workers in Australia take effect on 17 August. The Fair Work Commission issued the Interim On-Demand Delivery Employee-like Worker Minimum Standards Order, marking the first such order from the Commission.

The regulations apply to eligible independent contractors using digital platforms to deliver food, drinks, alcohol, and groceries. Key provisions include guaranteed minimum pay rates during engagement time—estimated between $31.30 and $32.00 per hour depending on the vehicle—as well as coverage for vehicle repairs, registration, insurance, and fines.

In addition to financial protections, the order introduces standards for record-keeping, unpaid time, and dispute resolution processes. Platforms must also consult with workers regarding significant changes and establish feedback forums. While these workers receive enhanced protections and representation rights, they remain classified as independent contractors rather than employees. The standards were developed following involvement from Uber Eats, DoorDash, and the Transport Workers’ Union.