Aus sets 'world-leading' minimum pay and insurance rules

Australia's industrial umpire has approved new minimum standards requiring food and grocery delivery workers to be paid hourly rates above the national minimum wage and covered by injury insurance while on the job.



Gig workers will be paid at least A$31.30 an hour, above Australia's minimum wage of A$26.44, while remaining responsible for maintaining third-party insurance for vehicles used for deliveries, the Fair Work Commission (FWC) said in an order issued late on Tuesday.



Companies will be required to provide "a reasonable minimum level of cover" for personal accident insurance, although the order did not specify a minimum level of coverage. The order takes effect on August 17 and is expected to benefit about 250,000 workers.



Under the order, workers will be paid a minimum hourly rate for "engaged" time, covering the period between accepting a job and completing the delivery.

The order follows the International Labour Organization's decision in June to adopt the first binding employment standards for gig workers, potentially giving them rights around pay, safety and social benefits. Those standards still require ratification by governments.