"Australia Sets Landmark Minimum Pay and Insurance Standards for Food Delivery Drivers", 13 August 2026

Gig-economy workers for Uber Eats and DoorDash to receive hourly safety-net pay of A$31.30 plus accident insurance under proposed agreement

Australia is poised to deliver a global first for gig-economy workers through a proposed agreement between the two largest food-delivery platforms, Uber Eats and DoorDash, and the Transport Workers’ Union (TWU).

The companies and union jointly submitted an application to the Fair Work Commission (FWC) to establish minimum standards including a safety-net hourly rate of A$31.30 starting on 1 July 2026, with a modest rise from 1 January 2027.

Under the draft deal, driving or cycling deliveries of food across all vehicle types would earn the new hourly floor.

Workers would also gain access to dispute-resolution mechanisms, representation rights, and mandatory personal accident insurance provided by the platforms.

The TWU emphasised the safety cover is vital: since 2017 at least 23 gig workers have died on Australian roads while delivering, and the union regards this deal as a pathway to closing longstanding protection gaps.

While the safety-net rate marks a roughly 25 per cent increase for many couriers still paid per-job, the agreement stops short of treating delivery drivers as employees; the parties have agreed to designate them as “employee-like” and excluded idle time between jobs from the hourly rate calculation…

Workers say the new arrangement will offer greater income certainty and risk protection…

Companies are yet to specify how they will absorb the higher operating cost, but analysts expect some pass-through to consumers in higher delivery fees, though platforms may also squeeze restaurant margins or absorb part of the difference to remain competitive…

However, the FWC still needs to approve the application, and a key issue remains whether delivery workers could be found, instead, to be employees — a finding that could prompt far-reaching legal and financial consequences for platforms…