Insight
The truth about Deliveroo’s pay floor?
Uncovering what's really going on with the Deliveroo-GMB pay guarantee
Sep 9, 2024
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Alfie
Last week we ran a competition asking users to guess the order fee on a Deliveroo offer. The answer was £3.86. Congratulations to the winner who guessed £3.87!
But we also noticed something rather interesting about this order - it looked long for just £3.86.
When we put the rider’s location (Brill Place), the restaurant (Granger) for pick up and the drop off location (St Marks Crescent) into Google Maps it gave us an estimated travel time of 21 minutes.
If the order takes 21 minutes and the fee is £3.86 then the rate will be just £11.02 per hour, already below the supposed pay floor.
If one optimistically assumes that pick up and drop-off take only 2 minutes each then the hourly rate falls to £9.26 per hour, 23% below the pay floor.
Under Deliveroo's deal with the GMB Deliveroo promised
to ensure a “floor” whereby Deliveroo will offer Riders fees which are at least the equivalent of the applicable National Living Wage plus costs.
Therefore, the pay floor should guarantee that the rider is paid at least £12.10 per hour while on an order (he is a cyclist).
Unfortunately this isn’t an isolated case. We have found hundreds of examples of Deliveroo failing to meet the promises made to riders and the GMB about pay, as reported by the Guardian on the weekend.
Amazingly Deliveroo's response has been to double down, claiming in the same article that they
guarantee all riders earn at least £12 an hour while completing a delivery.
If you are interested in checking whether you have been any orders that fall below the pay floor then please get in touch - hello@gorodeo.app - and we can try to help.
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