Australia Approves New Rules Benefiting Gig Delivery Workers

Australia's industrial relations tribunal has approved new rules that will benefit gig delivery workers in the country. The Fair Work Commission (FWC) has set an hourly rate of A$31.30 for food and grocery delivery workers, which is higher than the country's minimum wage of A$26.44. This rate will be paid for engaged time, i.e., the time spent between accepting a delivery job and completing the commission.

Additionally, companies will provide a reasonable minimum level of personal accident insurance coverage for workers, although the specific amount is not specified. The rules take effect on August 17, 2025. The FWC's order is expected to impact around 250,000 workers across Australia. This move comes after international efforts, with the United Nations' International Labour Organization (ILO) adopting a global treaty for decent working conditions in the gig economy in June.

The Australian parliament had previously passed legislation in 2023 and 2024 to grant gig workers more negotiating power over minimum pay and working conditions, enabling the FWC to set rules for pay and insurance. The Transport Workers Union (TWU) hailed the new rules as a "landmark moment for the Australian gig economy" and a "world-leading set of standards."