The Fair Work Commission (FWC) in Australia has officially approved a new minimum standards order for gig workers engaged in the on-demand delivery of food, groceries, and drinks. Starting soon, delivery drivers will be entitled to a minimum hourly rate of $31.30, alongside new protections for workplace injuries. This decision marks a significant shift in the regulation of the gig economy, establishing a legal floor for compensation that was previously determined by individual platform algorithms.

The policy is the result of a collaborative effort between the Transport Workers’ Union and major industry players, including UberEats and DoorDash. These companies, which have historically classified drivers as independent contractors rather than employees, joined the union in a joint application to the FWC. This move follows years of negotiations aimed at addressing concerns regarding worker safety and income stability in the gig sector. While the order sets a clear minimum, the practical implementation will involve adjustments to how digital platforms calculate pay to ensure compliance with the new hourly threshold. The decision is being framed by proponents as a world-leading step toward balancing platform flexibility with worker protections.