Delivery Worker Minimum Standards in Australia — What the Fair Work Commission Order Means | Sibley Lawyers

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Delivery worker minimum standards now apply to Uber Eats and DoorDash workers. Learn the pay rates, how engaged time works, insurance changes and what to do next.

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EMPLOYMENT LAW

Delivery Worker Minimum Standards: What the New Fair Work Commission Order Means

Delivery worker minimum standards took effect across Australia on 17 August 2026, giving around 250,000 food and grocery delivery workers a legally enforceable pay floor and new protections for the first time. The standards apply to people who deliver through apps such as Uber Eats and DoorDash, and were set by the Fair Work Commission under reforms introduced in 2024.

This article explains what the order covers, the minimum rates, how pay is calculated, what has changed on insurance and consultation, what the order does not do, and practical steps for delivery workers. It reflects the order as it stood in October 2026. The Commission has described the order as interim, so it may change.

What Has Changed

The Fair Work Commission’s Expert Panel for the road transport industry issued the Interim On-Demand Delivery Employee-like Worker Minimum Standards Order, which commenced on 17 August 2026. It is the first minimum standards order made under the 2024 “Closing Loopholes” reforms to the Fair Work Act 2009 (Cth), which gave the Commission power to make legally enforceable minimum standards for “employee-like” workers.

The order followed a joint application by the Transport Workers’ Union, Uber Eats and DoorDash, and was reached by agreement after almost two years of negotiations. It applies to workers who deliver food, beverages and groceries through a digital platform, and to the platform operators that engage them.

Who Is Covered — and Who Is Not

The order covers “employee-like” workers: independent contractors engaged through a digital platform to carry out on-demand delivery work. They remain independent contractors. The order does not make them employees, so employee entitlements such as annual leave and sick leave do not apply. What it creates is an enforceable baseline of pay and conditions for this type of work.

The Minimum Rates

The order sets a minimum hourly rate for “engaged time”, and the rate depends on the mode of transport. From 17 August to 31 December 2026, the minimum rates are:

  • $31.30 an hour for workers with no vehicle, or using a pedal bicycle, e-bike or electric scooter;
  • $31.80 an hour for motorcycles; and
  • $32.00 an hour for cars.

For comparison, the national minimum wage is $26.44 an hour. The rates are subject to future review and adjustment by the Commission.

How Pay Is Calculated

Engaged Time

Engaged time is the time recorded in the app from when a worker accepts a job until the delivery is completed. Time spent waiting at a restaurant for an order the worker has already accepted counts as engaged time. Time spent waiting for the next job to be offered does not.

The 21-Day Calculation

To check that the floor is met, platforms calculate a worker’s total earnings over a 21-day period and compare them with the minimum rate multiplied by the worker’s engaged time. If the worker’s earnings fall short, the platform must increase their pay.

A Simple Illustration

A worker using a car who records 10 hours of engaged time in the period must receive at least $320 for that time (10 hours at $32.00). If their earnings from deliveries were $290, the platform would need to make up the $30 difference. This is an illustration only; actual calculations depend on the platform’s records and the terms of the order.

Insurance, Consultation and Dispute Resolution

The order also introduces standards beyond pay:

  • Personal accident insurance — platforms must provide a “reasonable minimum level” of personal accident cover. The order does not specify the level, and workers remain responsible for insuring their own vehicles;
  • Consultation and notice — platforms must consult and notify workers about significant changes, such as a decision to exit the market;
  • A feedback forum — a new forum for workers to raise concerns;
  • Dispute resolution — a new procedure for resolving disputes; and
  • Unpaid time away — a right to take unpaid time away from the platform.

What the Order Does Not Do

  • It does not make delivery workers employees or give them employee entitlements;
  • It does not guarantee any minimum amount of work, and time spent waiting for a new job is not paid;
  • It is interim, and the rates and terms may be reviewed and changed; and
  • It applies to on-demand delivery work, and does not itself set standards for other kinds of platform work.

Practical Steps for Delivery Workers

  • Keep your own records — screenshots of earnings summaries, acceptance and completion times, and any messages with the platform;
  • Compare your earnings with your engaged time — multiply your engaged time by the applicable minimum rate and compare the result with what you were paid over the 21-day period;
  • Use the platform’s dispute process first, and keep a record of what you raise and how it is answered;
  • Seek information from the Fair Work Ombudsman, which has published guidance on the order, and from your union if you are a member; and
  • Get advice promptly if your account is deactivated — employee-like workers may be able to ask the Fair Work Commission to consider an unfair deactivation, and short time limits apply.

When a Charge or a Licence Problem Affects Your Work

Delivery work depends on being able to drive or ride. A criminal or traffic charge — for example drink or drug driving, dangerous driving or an assault allegation — can put your licence, and your access to platform work, at risk, sometimes before a court has made any decision. If you are a delivery worker who has been charged or is under investigation, get legal advice early, and before you make any statement to police or to your platform.

This article is based on the Fair Work Commission’s Interim On-Demand Delivery Employee-like Worker Minimum Standards Order (commenced 17 August 2026) and guidance published by the Fair Work Ombudsman.

Essential Services Team

Sibley Lawyers also acts for QPS officers, QAS paramedics and other public sector and essential services workers facing criminal, disciplinary or employment consequences arising from these matters. If you hold an occupational licence or public sector role, the consequences of a charge can extend well beyond the criminal proceedings themselves — contact us early to discuss the full picture.

Speak With Sibley Lawyers

If you are a delivery worker with questions about your pay, your platform account, or a charge that affects your licence or your work, contact Sibley Lawyers to discuss your situation. Early advice can make a real difference to the outcome.

☎  (07) 3180 0120

🌐  www.sibleylawyers.com.au

 

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