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29 Mär 2021

Deliveroo: Report highlights payments below minimum wages to UK delivery riders, prompting international strikes on day of IPO

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Photo: Alberto Trentanni, flickr CC BY-NC-ND 2.0

A recently released report compiled by the IWGB and Bureau of Investigative journalism based on company generated invoices highlighted that payments to Deliveroo riders were well below minimum wage, due to their classification as self-employed workers. Deliveroo disputes this calculation as it counts only payments for deliveries made and not time between orders. Riders believe that if they were classified as employees, as in the recent ruling on Uber drivers in the UK, they would be entitled to better wages, job security and work benefits. Data on riders in Scotland tells a similar story.

Deliveroo is set to launch an IPO on April 7 on the London Stock Exchange, reported to be the biggest stock market flotation in nearly a decade. The firm is expected to be valued at close to £8.8bn but key investors have shown concerns regarding its record of inadequate payments and protections, backing calls for riders to have access to minimum wage, sick leave and holiday pay. More than 70 MPs in the UK are also reported to be supporting the IWGB’s demands for fair terminations, income and health and safety protection for riders.

Trade unions in the UK and Australia have called for a strike by Deliveroo riders on April 7, the day of the IPO, in response to the findings of the report and to demand better working conditions.