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Australia Imposes Minimum Hourly Rates for Gig Delivery Workers

The Fair Work Commission issued a binding interim order that aims to preserve gig flexibility while forcing platforms to top up pay, buy accident cover and set formal dispute rules.

Overview

  • The Fair Work Commission approved the interim minimum-standards order on Tuesday and it takes effect on August 17 with rates rising by A$0.50 from January 1, 2027.
  • The order sets vehicle-specific hourly floors of A$31.30 for bicycles and e-bikes, A$31.80 for motorbikes, and A$32.00 for cars.
  • Platforms must calculate a worker’s total earnings over an earnings period of up to 21 days and pay a top-up if a worker’s pay falls below the earnings floor for engaged time.
  • Delivery platforms are required to provide personal accident insurance that covers on-the-job injuries while workers remain responsible for carrying third-party vehicle insurance.
  • The standards were jointly proposed by the Transport Workers’ Union with Uber Eats and DoorDash, will affect about 250,000 delivery workers, and are presented as a potential model for future national and international gig-work rules.