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Article

3 Sep 2019

Author:
David Chau, The New Daily

Australia: Former Deliveroo rider suing company for exploiting workers through 'sham contracting'

"Former worker sues Deliveroo, alleging underpayment and exploitation", 28 August 2019

...Deliveroo...is accused of exploiting its bicycle couriers by failing to pay the minimum wage, penalty rates and superannuation.

Former delivery rider Jeremy Rhind will argue...that he should have been paid an hourly minimum of $19.49. Instead, Deliveroo paid him $9 per delivery. He was expecting to make several deliveries per hour. But what he did not expect was the long waiting period between each job – which was unpaid...

...Mr Rhind will need to convince the court that Deliveroo engages in “sham contracting”...where a company hires its workers as independent contractors (instead of employees)...

...In a statement, Deliveroo defended its practices by pointing to the “freedom”, “flexibility” and “well-paid” work it offers...“Deliveroo riders in Australia work 15 hours a week, earning over $22 per hour on average, fitting riding around...other work,”...

...Deliveroo has a policy of ranking its riders in a hierarchy or “priority groups”...into three groups, 11am, 3pm and 5pm...Mr Rhind claims Deliveroo’s high degree of control suggests riders are more likely to be employees than contractors...

The riders are sorted according to who works the most “super-peak hours”...and makes the most deliveries. Riders are penalised for showing up to work late and cancelling too many jobs...