Riders and shareholders to challenge Deliveroo on pay and job security at AGM

Riders will allege that the firm failed to engage with riders who say they have been facing increasing financial difficulties in the last 12 months.

Rebecca Speare-Cole
Thursday 23 May 2024 00:01 BST
The Deliveroo board faces pressure from riders over pay (David Davies/PA)
The Deliveroo board faces pressure from riders over pay (David Davies/PA) (PA Wire)

Your support helps us to tell the story

From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.

At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.

The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.

Your support makes all the difference.

Riders and shareholder activists are preparing to challenge Deliveroo on poor pay, working conditions and job security at its annual general meeting (AGM).

The board will face questions from Deliveroo riders, co-ordinated by ShareAction and the Independent Workers Union of Great Britain (IWGB), during the meeting at the offices of law firm White & Case in central London on Thursday.

They will allege that Deliveroo has failed to engage with riders who say they have been facing increasing financial difficulties in the last 12 months.

Flexibility means nothing when we’re forced to work excessive hours to support our families, pay our bills, or even just stay alive

Uli Cioffi

Riders raised similar frustrations at last year’s AGM where they also protested against the bumper pay package of founder and chief executive Will Shu.

As they are self-employed contractors, employers are not legally obliged to pay app-based delivery drivers the statutory national living wage of £11.44 an hour.

Drivers get paid per delivery with a variable distance fee, but many complain that it is not clear how the changing rates are worked out.

In February, riders staged what is thought to be the largest-ever courier strike to demand better pay and improved working conditions.

Before the AGM, more than 100 members of the Brazilian, Bengali, Romanian and British rider communities are expected to gather outside the building for a protest followed by a motorcade rally across London.

Where are the pay rises for the riders who make Deliveroo and their shareholders their millions through blood and sweat who are pushed to work 12-plus hour days, seven days a week, just to get by?

Alex Marshall

Uli Cioffi, a Deliveroo rider and IWGB member who is set to join the action, said he has seen no improvements in pay or working conditions since he began working for Deliveroo four years ago.

“Every day is a struggle working for this company,” he said.

“Flexibility means nothing when we’re forced to work excessive hours to support our families, pay our bills, or even just stay alive.”

Alex Marshall, IWGB president and a former courier, said: “In the last year Deliveroo paid out £300 million to shareholders, whilst rider pay continues to decrease in real terms.

“Where are the pay rises for the riders who make Deliveroo and their shareholders their millions through blood and sweat who are pushed to work 12-plus hour days, seven days a week, just to get by?”

Dan Howard, head of good work at ShareAction, said: “Gig economy workers have been some of the hardest hit by the cost-of-living crisis.

Rider retention and application rates are high and the overwhelming majority of riders tell us that they are satisfied working with us

Deliveroo

“The riders today are making sure Deliveroo and its shareholders cannot continue to ignore the impact of inadequate pay and poor working conditions on their lives.

“The strikes have made it clear there are very real business risks if the company fails to step up to properly compensate and protect its workers.

“Investors must keep a close eye on making sure this happens to support the long-term interests of the business and its workers.”

In 2022, Deliveroo formed a partnership with the GMB union but faced criticism from the IWGB.

Following a recent round of collective bargaining with the GMB, Deliveroo said it agreed to increase the guaranteed minimum pay for the periods when riders are on an order to £12 an hour, plus vehicle costs for all vehicle types.

A Deliveroo spokesperson said: “We value dialogue with riders and always listen to their feedback.

“Deliveroo offers the flexible work riders tell us they want alongside attractive earning opportunities and protections, including free insurance, sickness cover, financial support when riders become new parents and a range of training opportunities.

“Rider retention and application rates are high and the overwhelming majority of riders tell us that they are satisfied working with us.”

Thank you for registering

Please refresh the page or navigate to another page on the site to be automatically logged inPlease refresh your browser to be logged in