In light of a landmark case won by employees of Deliveroo, who are now classed as self-employed, the online food delivery company is being hit with criticism about its employment practices – which now faces a reshuffle, as reported by Engadget.
Deliveroo riders using cycles, motorcycles and scooters now have access to ‘industry-leading’ cycle insurance at a discounted rate of £1.86 per week, in a step forward to provide protection for its riders.
Injured riders or those recovering from illness will be able to claim ’75 percent of their average weekly earnings for up to 26 weeks. The average amount will be based on their gross income “” before tax and national insurance “” in the 12 months prior to the claim.”
The tribunal case which concluded the argument that Deliveroo riders are actually self-employed, and not workers, means that those riding for Deliveroo will not be eligible for statutory employment rights such as National Minimum Wage, Holiday Pay, Sick Pay and Paternity/Maternity Pay, etc.
The policy also offers riders the following:
– £2,500 Yearly Medical Expenses Cover
– £2,000 Dental Repair Cover
– £700 Jury Service Cover
– £200 Phone Damage Cover, caused by an accident
– £1,500 Overnight Hospital Stays Cover (£750 for Family Members)
For 65p per week, they will also be able to take out Public Liability Insurance.
Changing Face of Self-Employment Protections
As gig economy numbers grow, it’s essential that employment law is reassessed and improved to suit the working behaviour of today. When the Freelancer and Contractor Services Association (FCSA) conducted a survey to gauge what benefits Freelancers valued above all – the answer was sick pay.
The findings were released in time for the Matthew Taylor report which features an in-depth analysis of the tax system, and a list of employment rights which should be introduced for the self-employed, including an auto-enrolment pensions scheme.
The full Matthew-Taylor report can be found here.
Gorilla Accounting is a specialist accountancy firm, exclusively for Contractors and Freelancers operating through a Limited or Umbrella Company. If you would like more information, get in touch with our New Business Team by calling 0330 024 0406 or email info@gorillaaccounting.com.
