Food delivery app drivers in New Zealand report being offered gig jobs paying as little as $6, according to recent statements from platform workers and industry representatives. While companies like DoorDash and Uber Eats maintain that average on-trip earnings exceed the minimum wage, workers point out that unpaid waiting times and return travel significantly diminish their actual take-home pay amid rising operational costs.
The Reality of Low-Paying Delivery Jobs and Rising Costs
For many workers in the gig economy, maintaining a consistent income has become increasingly difficult. Wellington Uber Eats driver Baden Cure started delivering after facing redundancy, finding appeal in the outdoor flexibility of the work. However, Cure told 1News that earning a steady income is roughly a fifty-fifty split depending on local demand.
In Christchurch, DoorDash driver Adam Green has balanced platform deliveries with a full-time job for three years. According to Green, rising fuel costs combined with shrinking payouts have squeezed driver margins. He noted that longer distance trips, such as journeys from Rolleston to Lincoln, routinely return offers of just $6 for up to half an hour of labor.
Did you know?
Neither DoorDash nor Uber Eats include time spent waiting between orders or traveling back to busy hubs in their average on-trip earnings calculations, according to statements provided to 1News.
Unpaid Wait Times and Return Travel Costs
Unlike traditional rideshare drivers, food delivery workers frequently absorb significant downtime at restaurants. Green recounted spending half an hour waiting for a single order to be prepared last week without receiving compensation for that time. Beyond restaurant delays, drivers spend unpaid minutes traveling back toward commercial hubs to secure their next delivery.
Both DoorDash and Uber Eats defended their compensation structures to 1News, asserting that average on-trip earnings sit above the minimum wage and have grown over the past year. Yet, those metrics fail to account for the uncompensated hours drivers spend waiting for orders or repositioning their vehicles.
Global Labor Standards and New Zealand’s Contractor Rules
These on-the-ground economic pressures arrive as international labor policy faces shifting definitions. In June, the International Labour Organization adopted new global standards aimed at gig economy protections, with New Zealand and the United States standing as the only countries to oppose them.
Council of Trade Unions secretary Melissa Ansell-Bridges criticized the trajectory of local employment protections, telling 1News that the expansion of digital labor platforms risks suppressing wages across the broader economy. She pointed to international trends where platform work has extended into sectors like healthcare and care support.
Employment Relations Minister Brooke van Velden defended the government’s approach, including a new gateway test designed to determine employment status. Van Velden stated that the test provides workers with clarity, preserves the freedom to maintain multiple business relationships, and allows contractors to decline poorly compensated tasks without facing termination. Despite this flexibility, workers categorized under the contractor model remain excluded from guaranteed minimum wage protections.
Frequently Asked Questions
Do food delivery drivers earn the minimum wage in New Zealand?
Drivers classified as independent contractors are not guaranteed the minimum wage. While platform operators state that average on-trip earnings exceed minimum wage thresholds, workers report that unpaid wait times and travel expenses reduce their actual net income.
What are the main financial challenges reported by drivers?
Drivers cite low base rates—such as $6 offers for extended trips—alongside rising fuel costs, unpaid restaurant wait times, and the uncompensated time spent traveling back to busy areas between orders.
How does New Zealand’s contractor test affect gig workers?
The government’s gateway test establishes contractor status, which officials argue provides flexibility to work across multiple platforms and decline undesirable jobs, though critics argue it locks workers out of traditional employment rights and protections.
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