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Landmark Deal Would Guarantee A$31.30/Hour for Australian Delivery Riders — Uber Eats and DoorDash Reach Draft Agreement

05:34 PM, 11/25/2025
Landmark Deal Would Guarantee A$31.30/Hour for Australian Delivery Riders — Uber Eats and DoorDash Reach Draft Agreement

Uber Eats and DoorDash have reached a draft deal with Australia’s Transport Workers' Union that would guarantee delivery riders a minimum wage of A$31.30 (US$20.19) per hour — roughly a 25% pay boost for some couriers. The agreement also requires accident insurance, improved transparency of job information and access to workers' records. If approved by the Fair Work Commission, the terms would take effect in July next year and would align gig riders' pay with casual minimum wages.

By Christine Chen

Australian food delivery riders are poised to receive a guaranteed minimum hourly wage after Uber Eats and DoorDash reached a draft agreement with the Transport Workers' Union. Union leaders have described the arrangement as a world first for app-based gig work in the country.

Key terms of the draft agreement

Under the proposed deal released on Tuesday, couriers covered by the agreement would be paid at least A$31.30 (US$20.19) per hour. For many drivers who have been paid per delivery rather than by time worked, this represents roughly a 25% increase in earnings. If the Fair Work Commission approves the agreement, the terms would come into effect in July next year.

In addition to the minimum hourly rate, the draft requires the platforms to:

  • Provide accident insurance for delivery workers;
  • Give riders access to their own records and data;
  • Supply clearer information about each delivery job to help riders assess risks and earnings.

Context and reactions

The agreement follows legislation passed last year that classified certain gig workers as "employee-like," enabling them to bargain for minimum pay and workplace conditions. Uber Eats and DoorDash are the dominant players in Australia’s food-delivery market; Sydney-founded Menulog has announced it will end local operations at the close of November.

"It is a world first set of conditions for gig workers performing this work, and it will result in life-transforming wage increases," said Michael Kaine, national secretary of the Transport Workers' Union.

Employment Minister Amanda Rishworth welcomed the move, saying: "For too long gig workers fell through the cracks. It was unfair that these workers had to rely on tips to survive and missed out on minimum standards."

One rider, Utsav Bhattarai from Canberra, described working through illness and hazardous weather just to make ends meet: "Just one more order, one more hour — that's the condition these drivers were living under. The change we're seeing now is massive."

Ed Kitchen, managing director of Uber Eats Australia and New Zealand, called the draft "a meaningful step towards building modern laws for modern forms of work," saying it aims to provide protection, security and flexibility for delivery workers.

Conversion used: US$1 = A$1.5506

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