Menulog to pay minimum wage, trial direct employment in Australian first

Matthew Elmas (The New Daily)

Menulog will pay its drivers a minimum wage, leave entitlements and superannuation in a break from the meal delivery industry that will see gig economy workers directly employed for the first time in Australia.

In a move that will pile pressure on UberEats and Deliveroo to end their reliance on contract labour, Menulog managing director Morten Belling said the company would trial a direct employment model in Sydney.

“We think we’ve got a moral obligation to do more,” Mr Belling told a Senate hearing into the gig economy in Sydney on Monday.

“We hope that in a few years’ time, all of the workers that are working on the meal platform will be employed.”

Australia’s meal delivery industry has exploded in popularity recently and particularly during the pandemic, but delivery drivers are employed under contracts with pay rates lower than the minimum wage.

They are also paid no superannuation, no leave entitlements and sometimes no accident insurance.

But Menulog’s trial will mark a significant change.

It will see some workers offered a minimum wage (likely as casual employees) in a first step towards higher rates of pay that unions argue are crucial to lifting safety standards following a spate of deaths over the past six months.


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