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Article

24 Jul 2018

Author:
Shona Gosh, Business Insider

Deliveroo under pressure to guarantee its riders at least £7.83 an hour

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Fast-growing food delivery startup Deliveroo should guarantee its riders the national living wage of £7.83 ($10.27), according to a damning report from Labour politician Frank Field. Field found that Deliveroo paid some riders as little as £2 or £3 an hour... The lawmaker was strongly critical of Deliveroo's model, which is reliant on a "continued oversupply and underutilisation of workers" to fuel its growth... Deliveroo said Field's proposal would "remove flexibility," which it said riders value. It also denied maintaining an oversupply of riders... A Deliveroo spokesman responded: "Deliveroo believes more can be done to increase the security for riders while protecting their ability to be their own bosses... [W]e ... have called on the government to update employment rules to end the trade-off between flexibility and security..." [T]he company made a call for a government-sanctioned "charter," potentially enshrined in law, that would allow it to offer certain benefits to employees with risking their self-employed status...