1 min read

Reforming the new on-demand transport industry

The COVID-19 pandemic saw an influx of new players into the on-demand transport industry. Now delivery drivers procure and deliver a large array of items. DoorDash and the Transport Workers’ Union (TWU) are attempting to change the way these app-based workers are treated, and are aiming to implement standards that ensure safety and fairness in this ‘on-demand’ economy.

DoorDash and the TWU have collaborated and signed a Statement of Principles, which they hope will progress to national regulation of the industry. The aim is to offer flexibility but also protection by providing minimum entitlements to on-demand transport workers.

The second stage in the process will be negotiation and agreement on a Memorandum of Understanding by industry leaders.

The agreed Statement of Principles includes steps to ensure:

  • workers in the on-demand industry are not prohibited from accessing appropriate work rights and entitlements like other workers;
  • workers have transparency;
  • workers can contribute to a collective voice;
  • workers have access to dispute-resolution processes;
  • appropriate resources are allocated to ensure industry standards are established and maintained, and to drive education and training; and
  • the development and adoption of a three-stage approach towards achieving regulation of the on-demand transport industry.

The Statement of Principles represents a commitment by DoorDash and the TWU to address the growing concerns faced by the workforce of on-demand businesses.

The Statement of Principles does not impose legal obligations on businesses and hence is not legally enforceable. However, DoorDash and the TWU do intend to lobby government and other stakeholders to develop and implement industry-wide standards based on the Statement of Principles ideals.

As such, businesses in the on-demand transport industry can expect there will be progressive changes made in this area. No doubt this is a topic likely to be discussed at the September 2022 Employment Summit when government, business and unions will come together to discuss ways to increase productivity.

By Kelly Godfrey

The Workplace Bulletin

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