[UK] Hourly wage for Ocado drivers is less than £5

Drivers delivering groceries for Ocado in the UK are currently earning less than the minimum wage, The Guardian reports.

The drivers deliver orders for Ocado’s rapid delivery service, Ocado Zoom. They were previously guaranteed an hourly wage of £14 however they are not directly employed by Ocado and they say their income dropped significantly following the introduction of Ryde, a new delivery partner, in June.

The Independent Workers Union of Great Britain (IWGB) represents the drivers, it said Ocado should take responsibility for the plight of a loyal group of workers who carried on working throughout successive lockdowns. “These drivers are key workers who risked their lives during the pandemic delivering vital supplies for Ocado but are now seeing their pay slashed by a company that has seen profits skyrocket,” Alex Marshall, the union’s president, said.

“They should be treated as the heroes they are. Ocado needs to take responsibility and bring these workers in-house.”

The IWGB sent an open letter to Ocado this week, accusing the company of abandoning a precarious and predominately minority ethnic workforce. The letter warns that the union will begin a public campaign against Ocado unless it enters into negotiations. The company reported group profits that rose by nearly £30m to £73.1m in February but it has recently seen sales slip as pre-pandemic shopping habits return.

Despite this, the rapid delivery market is expanding and huge amounts of venture capital are reportedly being poured into courier firms in a bid to replace smaller top-up purchases made in corner shops with ultra-quick drop-offs, usually within an hour of ordering. Ocado CEO Tim Steiner received a £58.7m pay packet in 2019. Mr Steiner intends to roll out Ocado Zoom across Britain, with at least 12 “micro fulfilment centres” planned.

Ocado Retail is half-owned by Marks & Spencer. In a statement, it said, “Ocado Zoom works with a number of third-party suppliers, and expects all of them to adhere to its high standards.”

Ryde - backed by some of the world’s largest venture capitalists and high-profile tech investors - said it was a “rider first” last-mile delivery business, with drivers free to work as it best suits them. “We put the welfare of our workforce at the heart of everything that we do,” a spokesperson said.

“On average, workers on our platform earn 15 per cent to 20 per cent more than other gig economy businesses. We constantly champion improved conditions for them across the board.”

Source: The Guardian

(Links via original reporting)

Drivers delivering groceries for Ocado in the UK are currently earning less than the minimum wage, The Guardian reports.

The drivers deliver orders for Ocado’s rapid delivery service, Ocado Zoom. They were previously guaranteed an hourly wage of £14 however they are not directly employed by Ocado and they say their income dropped significantly following the introduction of Ryde, a new delivery partner, in June.

The Independent Workers Union of Great Britain (IWGB) represents the drivers, it said Ocado should take responsibility for the plight of a loyal group of workers who carried on working throughout successive lockdowns. “These drivers are key workers who risked their lives during the pandemic delivering vital supplies for Ocado but are now seeing their pay slashed by a company that has seen profits skyrocket,” Alex Marshall, the union’s president, said.

“They should be treated as the heroes they are. Ocado needs to take responsibility and bring these workers in-house.”

The IWGB sent an open letter to Ocado this week, accusing the company of abandoning a precarious and predominately minority ethnic workforce. The letter warns that the union will begin a public campaign against Ocado unless it enters into negotiations. The company reported group profits that rose by nearly £30m to £73.1m in February but it has recently seen sales slip as pre-pandemic shopping habits return.

Despite this, the rapid delivery market is expanding and huge amounts of venture capital are reportedly being poured into courier firms in a bid to replace smaller top-up purchases made in corner shops with ultra-quick drop-offs, usually within an hour of ordering. Ocado CEO Tim Steiner received a £58.7m pay packet in 2019. Mr Steiner intends to roll out Ocado Zoom across Britain, with at least 12 “micro fulfilment centres” planned.

Ocado Retail is half-owned by Marks & Spencer. In a statement, it said, “Ocado Zoom works with a number of third-party suppliers, and expects all of them to adhere to its high standards.”

Ryde - backed by some of the world’s largest venture capitalists and high-profile tech investors - said it was a “rider first” last-mile delivery business, with drivers free to work as it best suits them. “We put the welfare of our workforce at the heart of everything that we do,” a spokesperson said.

“On average, workers on our platform earn 15 per cent to 20 per cent more than other gig economy businesses. We constantly champion improved conditions for them across the board.”

Source: The Guardian

(Links via original reporting)