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Hungry Jacks’ founder calls out food delivery service pay rates

Sarah Stowe

Fast food billionaire Jack Cowin, chairman of Domino’s Pizza and owner of Hungry Jacks, has hit out at delivery businesses in the gig economy and called for standardised pay and conditions across the industry.

Cowin cited the disparity of Deliveroo, Foodora and Uber Eats paying contractor wages without benefits while fast food chains such as Domino’s pay award wages.

In an interview with the ABC’s The Business he said “We have the gig society — where people are contractors who are doing delivery, they don’t get employee benefits, they don’t get penalty rates, they work on a contract rate which is a lot lower so if someone wants to look at wages that’s where they should look, that’s where people are being paid less.”

Cowin acknowledged that some franchisees within Domino’s do use contracted delivery firms as part of their business and rejected suggestions these franchisees should stop third party deliveries.

“What I’m saying is it should be a level playing field in which everyone, whether you’re a part-time contractor or a part-time employee in a store, that the benefits should be the same.”

A move has already been made by Greens Melbourne MP Adam Bandt who has introduced the Making Australia More Equal Bill to amend the Fair Work Act to ensure contract workers receive a minimum wage, leave and superannuation contributions, as employees are entitled to.

However food delivery platforms such as Foodora are emphasising the flexibility that contract work affords their riders,

Internet Retailing reports Foodora’s head of digital and public relations, Lizzy Kaye, said riders are paid per delivery and earn $20 per hour on average. They can also work for other delivery providers, while working for Foodora, a scenario that typically would not fly in a traditional employment contract.

“The mutually beneficial arrangement is only possible if it operates outside the traditional employment relationship, which does not properly characterise and therefore cannot regulate the engagement of Foodora’s riders,” Kaye said.