Tag Archive | "deliveroo"

Judge Hands Deliveroo a Victory Over Employment Rights

Just when you thought companies such as Deliveroo and Uber were beaten…a judge in Birmingham slammed down the hammer and said…

“No workers for you, everybody is self employed!”

If you have been following this whole saga about whether or not workers should be classed as self employed or employed, then you will probably be surprised by the decision

The reason? Because many of these companies are getting the wrong decisions right now, with judges all around the country slamming down the hammer of punishment and ordering them to turn the self employed into…”employed,” and all the benefits that come with that.

However, the tide may be changing with this recent ruling for Deliveroo in Birmingham, and a spokesperson for the company has spoke to the press about the matter, having this to say, “this is a victory for all riders who have continuously told us that flexibility is what they value most about working with Deliveroo.”

Do you know what? That is exactly what I’ve been saying all along, as I constantly get emails and letters from the self employed who say they really do enjoy the freedom, flexibility, and control of working for themselves, choosing their own hours, and doing what they want to do.

As far as I’m concerned, if a job for Deliveroo or Uber is correctly advertised as “freelance” or “gig worker” and the conditions are clearly spelled out, then it is up to the worker if they want to accept those conditions.

Don’t want to work as a freelance contractor? Simple…don’t accept a job that has freelance contractor in the headline. Instead, go and find a job that will offer you a set amount of hours and a set wage.

For example, most of the riders who work for Deliveroo on a freelance basis typically make, on average, more than riders who take on an hourly wage.

Not only that, but these freelancers also have the ability to work for rival delivery companies at the same time, which means they can deliver for two or more companies on the same day, which boosts their earning potential and gives them more choice.

If you ask me, many of these freelance riders have removed the shackles of traditional employment and are moving forward into a new world of being free to do what they want to do. Unfortunately, there are still some people, especially those in the government, who are living in the past.

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Deliveroo Fight Back With Pay Per Delivery for Drivers

The takeaway delivery company Deliveroo have been in the news a lot recently, mostly being accused of hiring employees under the guise of “contractors.”

One of the arguments being used against Deliveroo is that in some cities they do pay drivers or couriers by the hour, typically getting a set rate and then £1 per delivery, which means in many people’s opinion this makes them employees and not contractors.

Not content to just sit back and be attacked in the press, Deliveroo have decided to hit back at their critics, by bringing in a new pay structure for their self employed drivers.

What they have come up with is a pay per delivery structure as an option for all workers. Last year Deliveroo actually tried to make this mandatory for everybody, but it now seems to be voluntary.

Will many workers take up this new pay structure from Deliveroo? Probably not. While some drivers appear to be okay with being classed as a contractor and self employed, there are many that want full employee rights. Thousands protested last year, and there is expected to be protests this year.

I just think that if these drivers took the job on the understanding that it was a self employed position, then what are they complaining about? If they want traditional based employment where they are classed as an employee then go to another company. It really is as simple as that, but of course, many don’t want to listen.

Interestingly, after a bit of testing Deliveroo have said that the Pay Per Delivery structure, on average, earns their drivers £12 an hour, while those on the hourly based structure only get around £9.50 an hour.

£2.50 extra per hour and a lot of drivers are not interested…it really does make you wonder if some of these workers are actually interested in “working” or if they just want to get a cushy job with an hourly rate where they do the bare minimum.

Drivers who use Pay Per Delivery also have the ability to see orders as they come through the system, and have the option to reject any deliveries they don’t want to make. Sounds like a good deal if you ask me.

Also, let’s not forget that contractor drivers who work for Deliveroo also get flexibility in when they work and for how many hours. This means some weeks they might only do 20 hours, while others it could be 70 hours. They can work around their schedule and lifestyle rather than the other way round.

I’m sure we haven’t heard the last of Deliveroo in the news or the employee versus self employed debate.

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Deliveroo Challenged About Workers Employment Status

You’ve no doubt heard about the food delivery company called Deliveroo, but lately they have been making the headlines for all the wrong reasons.

In a landmark case the UK government have ordered the company to reshuffle the employment status of its workers, which means they will have to start paying them minimum wage with employee benefits.

Up until this point the vast majority of Deliveroo couriers have been labelled as “self employed” or “contractors,” and this is something the company still say is the right classification as they are basically working for themselves.

However, leading government officials have branded the working conditions and pay scale as “Victorian,” saying that plans to pay couriers per delivery rather than by the hour just isn’t on.

Right now, the national minimum wage in the UK is £7.20 per hour, so if Deliveroo couriers are seen as employees rather than self employed, this will be a starting salary for the workforce. Of course, there will be other benefits on top of that base amount, as well as more per hour for employees that take on supervisor roles and the like.

My verdict? I think this isn’t such a clear case as the government are making it out to be, mainly because once Deliveroo couriers do become employed then they are limited to the amount of money they can earn, whereas if they are paid for each delivery it would be possible to potentially make over £10 an hour or more.

Some couriers will prefer to be employed while others would no doubt enjoy the freedom of self employment or a contracting type role, which ultimately means it is hard to say what is the best (and right) way forward.

It is said that under the current pay model where couriers are self employed, the average pay is around £9 per hour, although it is entirely possible for them to make up to £25 per hour during busy times and with the right delivery route.

There is also the point of whether or not the Deliveroo business model will work as effectively once they have a work force of employees rather than self employed agents.

In other words, will their profits take a hit and will their competition be able to use this to their advantage? Only time can answer that question I suppose, but my initial reaction is that other food courier companies out there could take away some market share.

What is interesting about this case is that it could signal a significant slowdown of businesses in many industries hiring workers on a self employed and contractor basis, and instead, they may just look to hire employees right from the start. Let’s wait to see how this all turns out.

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