Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

Nick Ansell/PA Wire

Deliveroo's contentious new contracts are already in use abroad

Delivery men and women in Australia and the United Kingdom raised similar concerns earlier this year.

PAY AND CONDITIONS for Deliveroo delivery men and women are in the spotlight after a driver claimed his contract was terminated for refusing to sign up to a new agreement.

However, the contract changes at the multi-million euro start-up company that sparked this aren’t limited to Ireland.

The same changes were brought in earlier this year in the United Kingdom. Deliveroo said at the time that this was a trial only taking place in one area.

A similar system was introduced in Australia, with the company highlighting that many employees did not rely on Deliveroo as their main source of income.

A Deliveroo driver called Jamal told RTÉ Radio 1’s Liveline earlier this week that he was previously being paid €9 per hour and getting an extra €1 per delivery.

A new contract was introduced which the man claims resulted in significantly less pay for Deliveroo workers, in which drivers are paid no hourly rate but €4.25 per delivery on weekdays, which increases to €4.75 on weekends.

“I was logged in all day until 9 o’clock and I made no money at all. I didn’t get one delivery,” he told the programme.

Workers in the United Kingdom also had their hourly rate scrapped, and replaced with a £4.25 per delivery payment.

“We were told the new contract would mean we’d earn more money”, an anonymous Deliveroo driver told BBC News.
https://www.facebook.com/BBCLondon/videos/1128085327233163/

It’s not true, we’re making less. We’re really struggling.

One worker said the hourly rate he received was now just €4.25 per hour, which is below the UK’s minimum wage.

Deliveroo responded to say that efficient drivers could in theory earn €12 per hour.

Drivers in Australia previously receive $16 (€10.63) per hour with an extra $2.50 (€1.66) per delivery.

However, an investigation by Fairfax Media found that some drivers received a contract with no hourly rate, and were paid $10 (€6.64) per delivery.

Deliveroo denied accusations it was employing them on ‘sham contracts’, and said workers enjoyed the flexibility these contracts offered.

One worker told Fairfax that they could sometimes earn just $10 per hour, meaning they are not being paid the minimum wage.

In a statement, Deliveroo said this form of contract has proved to be popular in Ireland.

Asked about the fate of the trial in the United Kingdom, the company said: “London and Dublin City Centre are extremely busy.”

A fee per delivery structure means riders maximise efficiency at our busiest times – making up to four deliveries an hour – as opposed to a fixed hourly rate. It’s more reflective of the way riders work with us.
This is a new model of hyper-flexible working, which we know may not be for everyone, but we’ve seen huge demand for in Ireland.

The Telegraph reports that an internal projection of the company’s predicted revenue put the figure at £130 million (€169m), placing growth at more than 1,000%.

The delivery company – which works in a similar way to JustEat.ie, but offers food from restaurants that don’t normally offer deliveries – has as many as 400 drivers on its books in Ireland, is established in five Irish cities and has its sights set on another three.

It operates in 12 countries across the world.

Read: Deliveroo worker claims his contract was terminated because he wouldn’t sign a new agreement >

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Close
54 Comments
    Install the app to use these features.
    Mute stopit
    Favourite stopit
    Report
    Jun 26th 2016, 10:05 PM

    sure isn’t this the modern way?

    1. target an old long established service (deliveries, taxis etc) that have already created the market demand
    2. make an app
    3. get some fancy branding
    4. repackage the the exact same service as something new – but call it “on-demand”, “sharing economy” “access economy” or some such BS
    5. build a precarious work force through early incentives and promises
    6. undercut existing services
    7. raise loads of VC finance
    8. grow rapidly
    9. make employment even more precarious and exploitative to ensure higher returns
    10. sell company for millions/billions (get out)
    11. absolve yourself of responsibility for the shafted workforce

    401
    Install the app to use these features.
    Mute Paddy Ryan
    Favourite Paddy Ryan
    Report
    Jun 26th 2016, 10:15 PM

    Sounds exactly like what was happening in 1999 just before that bubble went tits up. I’d say within 6 months to a year before the next one…

    127
    Install the app to use these features.
    Mute Brian Higgins
    Favourite Brian Higgins
    Report
    Jun 27th 2016, 2:27 AM

    Slave labour wages and conditions a real race to the bottom of wages!!! Normal delivery drivers get paid very badly already and this company is making conditions even worse and are taking advantage of people who are desperate to try to earn some money … Boycott them and when nobody uses the service then maybe it will change !!!

    120
    See 5 more replies ▾
    Install the app to use these features.
    Mute Brian Higgins
    Favourite Brian Higgins
    Report
    Jun 27th 2016, 2:34 AM

    Some of these drivers use motorcycles to deliver!! Do they have commercial insurance to provide this service or are they working illegally???? Just asking!!!!

    57
    Install the app to use these features.
    Mute Wally Mooney
    Favourite Wally Mooney
    Report
    Jun 27th 2016, 7:16 AM

    We’re led to believe that workers are protected through national and EU legislation which is nonsense of course. The working class can only ever depend on itself for protection. The drivers need to organise and close Deliveroo down until they deliver decent wages and conditions. Solidarity with the drivers in their struggle.

    59
    Install the app to use these features.
    Mute Pádraig Ó Raghaill
    Favourite Pádraig Ó Raghaill
    Report
    Jun 27th 2016, 8:05 AM

    Being paid per delivery is nothing new and used in industries in many countries like taxi drivers for example. Whole lot of subjective complaining.

    12
    Install the app to use these features.
    Mute James Darcy
    Favourite James Darcy
    Report
    Jun 27th 2016, 9:23 AM

    Totally Padraig. Wally out then again with the usual EU bashing. Easy. Over supply of these workers leads to less deliveries. Move jobs to another role.

    6
    Install the app to use these features.
    Mute Robbie Redmond
    Favourite Robbie Redmond
    Report
    Jun 27th 2016, 10:27 AM

    This crowd should be boycotted by Irish consumers

    27
    Install the app to use these features.
    Mute Kilian Dunne
    Favourite Kilian Dunne
    Report
    Jun 26th 2016, 9:49 PM

    Digusting to read, disgusting to see in our country. Slave labour in its simplist form.

    258
    Install the app to use these features.
    Mute Teddington
    Favourite Teddington
    Report
    Jun 26th 2016, 10:06 PM

    I’m sorry but it’s clear that there is a demand out there for this service, the only issue here is a very profitable company exploiting it’s workers. It should not be allowed to continue!

    211
    Install the app to use these features.
    Mute Joe Dobias
    Favourite Joe Dobias
    Report
    Jun 27th 2016, 12:49 AM

    :D I love how everyone calls them company workers, they are self employed contractors, they move stuff from A to B. Its like a plumber, electrician, any self employed individual,they are not getting paid if they are not on a job, that’s it. done. can ya all get it finally? its pretty clear from the article, which in its self is pointless, you can write a article about a truck driver who complains he is not getting paid while sitting at home waiting for stuff to haul.. the only difference here is Deliveroo were generous enough BEFORE to pay their contractors hourly, even tho they weren’t creating any revenue, now when they actually have to work their asses to make money they are complaining.. typical.

    41
    See 2 more replies ▾
    Install the app to use these features.
    Mute Bunny Johnson
    Favourite Bunny Johnson
    Report
    Jun 27th 2016, 8:45 AM

    I half agree with you except the laziness part. This isn’t slave labour as some are suggesting but self employment as you do. The other advantage of being self employed is you don’t have to take every contract. If the company wants to lower its rates and improve its revenue it has to work with the contractors. If they all refuse it will change. Whinging to RTE won’t make a jot of difference if everyone accepts the new rates.

    12
    Install the app to use these features.
    Mute Fred Coloe
    Favourite Fred Coloe
    Report
    Jun 27th 2016, 3:18 PM

    This type of contract is rapidly becoming the norm. Uber is the taxi version of deliveroo. People need to ask themselves what kind of world they want to live in? Is it one where the minority have a lot…and the majority have little!?? If this kind of exploitation goes unchallenged Social unrest will follow! There are humans out there who display disgusting behaviour towards other humans.

    7
    Install the app to use these features.
    Mute Em Ni Mhurchu
    Favourite Em Ni Mhurchu
    Report
    Jun 26th 2016, 10:09 PM

    Hit them where it counts….boycott them. I’m all for competitive models but not at the expense of the employees, or in this case as they like to say ‘independent contractors’. Their almighty pursuit of profit margins clearly demonstrate their greed and put me right off my food. Deliveryoo…….no thank you!

    220
    Install the app to use these features.
    Mute Austin Rock
    Favourite Austin Rock
    Report
    Jun 27th 2016, 1:22 PM

    Makes sense, just tell your fav restaurant you are not buying from them as long as they use this company.

    15
    Install the app to use these features.
    Mute John Moylan
    Favourite John Moylan
    Report
    Jun 26th 2016, 10:09 PM

    …simple solution : don’t use Deliveroo. When their turnover drops the penny will drop.

    214
    Install the app to use these features.
    Mute Teddington
    Favourite Teddington
    Report
    Jun 26th 2016, 10:36 PM

    Spot on John, that’s the only way! I hope the media drives this one massively public so that they actually feel it in their pockets!

    123
    Install the app to use these features.
    Mute Tony Canning
    Favourite Tony Canning
    Report
    Jun 27th 2016, 12:06 AM

    The issue there is that the delivery people themselves will also suffer. Same as any boycott

    15
    Install the app to use these features.
    Mute Padraig Grimes
    Favourite Padraig Grimes
    Report
    Jun 26th 2016, 10:43 PM

    It’s a race to the bottom. Slave labour in fancy dress, but still slave labour.

    157
    Install the app to use these features.
    Mute Tony Canning
    Favourite Tony Canning
    Report
    Jun 27th 2016, 12:05 AM

    And within the sovereign right of any country to address. Along with zero hour contracts

    86
    Install the app to use these features.
    Mute Suzie Sunshine
    Favourite Suzie Sunshine
    Report
    Jun 27th 2016, 1:32 AM

    Zero hours should be banned . It’s disgraceful that people are still on those contracts not knowing when their next shift will be ..

    78
    See 1 more reply ▾
    Install the app to use these features.
    Mute Teddington
    Favourite Teddington
    Report
    Jun 27th 2016, 6:32 AM

    Unions out fighting for 57% increases for tram drivers should have anyone with zero hour contracts locked down until they’re changed! It’s an absolute scandal.

    37
    Install the app to use these features.
    Mute Mick Hannigan
    Favourite Mick Hannigan
    Report
    Jun 26th 2016, 10:40 PM

    Wrong on every level, if they are in work they should be paid, in saying that if you don’t get paid don’t go back,

    79
    Install the app to use these features.
    Mute Ken Pepper
    Favourite Ken Pepper
    Report
    Jun 26th 2016, 10:22 PM

    Cook ur own food ye fat lazy gits

    67
    Install the app to use these features.
    Mute Joanna
    Favourite Joanna
    Report
    Jun 26th 2016, 11:08 PM

    The hook with Deliveroo is that it it’s associated with healthy options and before 5 pm so busy working people can have healthy lunches.

    8
    Install the app to use these features.
    Mute windbag
    Favourite windbag
    Report
    Jun 26th 2016, 10:49 PM

    This is were the ” me no speak English ” person comes in handy . You can totally abuse them and no one gives a sh!t…. Why ? …. Because no one gives a sh!t…

    66
    Install the app to use these features.
    Mute Alan Ball
    Favourite Alan Ball
    Report
    Jun 26th 2016, 11:30 PM

    At the risk of being accused of being racist…..these type of jobs are the type that would appeal to migrant workers requiring employment quickly.Our government will of course do nothing to tackle this issue as it falls in line with their general approach to workers in low income employment.As most of these workers do not have to contribute much by way of tax , supporting the employer and getting a bit extra revenue via enhanced profits is the way to go.kenny and co…along with labour FG and SF..will do nothing

    43
    Install the app to use these features.
    Mute Joe Dobias
    Favourite Joe Dobias
    Report
    Jun 27th 2016, 12:35 AM

    funny enough, I can see more young Irish faces there daily then in any supermarket..

    22
    Install the app to use these features.
    Mute Joe Dobias
    Favourite Joe Dobias
    Report
    Jun 26th 2016, 9:59 PM

    Slave labour would be if you are not getting paid. You are getting paid according to your performance. I find that reasonable enough. Especially that people have this as a second job so can do 2-3h a day and make north of €50 if they aren’t lazy. I cannot see a issue. And its a contractor agreement not employment contract as many presume. There is no hourly rate in those. Paid per job not hours. Pretty standard.

    33
    Install the app to use these features.
    Mute Kilian Dunne
    Favourite Kilian Dunne
    Report
    Jun 26th 2016, 10:18 PM

    Haha, don’t make me laugh. Its far from minimum wage…. tell you what. Test the system. Dust of the rothar and start at 3pm tomorrow. See your takings after 8 hours work at 11pm.

    104
    Install the app to use these features.
    Mute Joe Dobias
    Favourite Joe Dobias
    Report
    Jun 27th 2016, 12:42 AM

    ? you probably pressed a wrong reply button cos your answer doesn’t connect with my comment. Tell you what, If the people don’t like it they don’t have to work with them. simple as that. same like Luas drivers.. they want railway like pay, go work for them. Everybody is complaining and doing nothing to better themselves. why the f*** you work w Deliveroo and expect g paid for doing nothing? the whole system would collapse quite fast. Its all about performance. but that’s the problem w western countries, there is always a way how to freeload yourselves..

    20
    See 3 more replies ▾
    Install the app to use these features.
    Mute molly coddled
    Favourite molly coddled
    Report
    Jun 27th 2016, 12:58 AM

    I agree Joe, I also assumed it was a contractor agreement, it’s a shame the article didn’t make that clear.

    16
    Install the app to use these features.
    Mute Gerry Healy
    Favourite Gerry Healy
    Report
    Jun 27th 2016, 2:32 AM

    @joe
    You seem to forget one simple blatantly obvious fact if you care to open your eyes, yes its right you should only get paid for the hours you work but Deliveroo workers have to be on call whether they are earning or not and precludes them from doing productive work elsewhere or even just having some time off.
    They are a disgusting company and as so will never have me as a a customer.

    45
    Install the app to use these features.
    Mute Oh Sheeple Stand Up
    Favourite Oh Sheeple Stand Up
    Report
    Jun 27th 2016, 10:28 AM

    “Joe slave labour is not always if you are getting nothing. Are the people working in sweatshops making your clothes getting 40c a day not in slavery?. I suggest educating yourself on your own comments before commenting

    7
    Install the app to use these features.
    Mute Jack Bowden
    Favourite Jack Bowden
    Report
    Jun 26th 2016, 10:30 PM

    Do people tip the delivery drivers?

    32
    Install the app to use these features.
    Mute Sam Bartell
    Favourite Sam Bartell
    Report
    Jun 26th 2016, 10:59 PM

    Irrelevant

    25
    Install the app to use these features.
    Mute Brendan Deegan
    Favourite Brendan Deegan
    Report
    Jun 26th 2016, 10:16 PM

    Why yiz all still ringing them Usual Bullshit Keyboard warriors. Would not use them at all

    32
    Install the app to use these features.
    Mute Patrick James Walsh
    Favourite Patrick James Walsh
    Report
    Jun 27th 2016, 12:32 AM

    just boycott them, that`ll sort it rapid.

    29
    Install the app to use these features.
    Mute Gerry Healy
    Favourite Gerry Healy
    Report
    Jun 27th 2016, 2:25 AM

    Boycott Deliveroo. That’ll soften their cough.

    25
    Install the app to use these features.
    Mute Drew TheChinaman :)
    Favourite Drew TheChinaman :)
    Report
    Jun 27th 2016, 2:10 AM

    The capitalist market works both ways. A worker can sell their labour to the highest bidder or the company that treats them the best.

    If the company is unfairly taking advantage of its workers, all the good delivery drivers will go work for a competitor. If anything the flexibility model means they can walk out at anytime or work for multiple companies.

    All the fancy branding in the world won’t save them if what they’re paying is only enough to attract rude, late, food damaging, poor English drivers and they don’t have enough staff to meet peak demand and loose orders.

    23
    Install the app to use these features.
    Mute Jackson Bollovks
    Favourite Jackson Bollovks
    Report
    Jun 27th 2016, 12:10 AM

    Lazy Millenials! Go to the shops and cook your own dinner! Takes less time!

    20
    Install the app to use these features.
    Mute Diolúin Ó hUigínn
    Favourite Diolúin Ó hUigínn
    Report
    Jun 27th 2016, 12:20 AM

    Go to the shop? Talk about lazy! Sure I grow all my vegetables and slaughter the cattle for meat meself!

    36
    Install the app to use these features.
    Mute Paddi de Euskadi
    Favourite Paddi de Euskadi
    Report
    Jun 27th 2016, 11:24 AM

    In a taxi, passed by an accident where a deliveroo lad was hit by a car. He was lying on the ground. Taxi man rang deliveroo. They showed no concern for their employee. They were only interested in whether there was still food in the box. I would never use this company.

    9
    Install the app to use these features.
    Mute Oh Sheeple Stand Up
    Favourite Oh Sheeple Stand Up
    Report
    Jun 27th 2016, 10:23 AM

    They sound like a FG/FF/LAB dream company driving pay and conditions to the ground to maximize profits

    7
    Install the app to use these features.
    Mute TheFairWind
    Favourite TheFairWind
    Report
    Jun 27th 2016, 12:46 PM

    The ‘pay per job’ approach might explain why it’s such a common sight to see Deliveroo cycle couriers going through red lights at speed, weaving through pedestrians on footpaths/pedestrian streets and going the wrong way on one-way streets etc.

    5
    Install the app to use these features.
    Mute Steve stevenage
    Favourite Steve stevenage
    Report
    Jun 27th 2016, 8:08 AM

    Why should they get paid when they are not doing deliveries?

    4
    Install the app to use these features.
    Mute Ray Hyland
    Favourite Ray Hyland
    Report
    Jun 27th 2016, 7:57 PM

    Is the worm turning? Or is this a one off? This time last year most Journal.ie readers would have just said ‘that’s life, they should be happy to have a job’. This time around people can see the exploitation and are acknowledging it. Proper order.

    4
    Install the app to use these features.
    Mute Eme
    Favourite Eme
    Report
    Jun 27th 2016, 9:52 PM

    “Hyper flexible working”just be honest and call it exploitation.

    3
    Install the app to use these features.
    Mute Graham White
    Favourite Graham White
    Report
    Jun 27th 2016, 3:48 PM

    Has your company ever had anything delivered by bicycle messenger? Same deal and has been for years – no sympathy for them though, just branded as scofflaws.
    Maybe they should get an app and people will give a shit.

    1
Submit a report
Please help us understand how this comment violates our community guidelines.
Thank you for the feedback
Your feedback has been sent to our team for review.
JournalTv
News in 60 seconds