Deliveroo's CEO says couriers can choose how they want to be paid
Deliveroo
The move - outlined in a blog post on Deliveroo's website - comes after couriers protested outside Deliveroo's London headquarters over a new payment structure.
Deliveroo CEO and cofounder Will Shu told the BBC Today programme that he was "very sorry things have got to this point".
The new payment system involves paying riders per delivery instead of per hour but riders are concerned that they'll end up earning less than the national minimum living wage of £7.20 an hour under the new payment method.
"Our riders are the life blood of our business and without them we are nothing," said Shu. "This [the new pay plan] is in response to our riders' number one concern which is flexibility … This was a choice for them. If the riders choose to be on a new scheme that's great … If riders feel like it's not for them, they can choose to work on the old scheme as well."
However, the Independent Workers Union Couriers & Logistics Branch (CLB) states in a blog post that Deliveroo riders will have to move to another zone where the £7 per hour/+£1 per delivery scheme is still in place if they don't want to be paid per delivery.
"This means drivers will have to work in zones far away, adding extra costs and time to their day," writes the union. "This also means drivers will have to learn their new zone from scratch and spend time building up their knowledge, as it takes weeks and months to get enough knowledge to work efficiently. Drivers will have to learn a whole new group of restaurants and customers."
Deliveroo, which has raised $475 million (£366 million) from investors, said the new payment method is being trialled with 280 of Deliveroo's 3,000 plus London couriers.
- I spent $2,000 for 7 nights in a 179-square-foot room on one of the world's largest cruise ships. Take a look inside my cabin.
- Saudi Arabia wants China to help fund its struggling $500 billion Neom megaproject. Investors may not be too excited.
- One of the world's only 5-star airlines seems to be considering asking business-class passengers to bring their own cutlery
- From terrace to table: 8 Edible plants you can grow in your home
- India fourth largest military spender globally in 2023: SIPRI report
- New study forecasts high chance of record-breaking heat and humidity in India in the coming months
- Gold plunges ₹1,450 to ₹72,200, silver prices dive by ₹2,300
- Strong domestic demand supporting India's growth: Morgan Stanley