What it’s like to be a Deliveroo rider in UK: 12-hour shifts and surviving on £50 per day


Neil Murphy
  • English
  • Arabic

Deliveroo riders have spoken out about low pay and unsafe conditions they face while working on London’s streets.

Investor concerns over employee conditions at the firm contributed to its disastrous London Stock Exchange debut on Wednesday.

Many riders make below minimum wage during shifts that can last 10 to 12 hours. They do not currently receive sick or holiday pay due to their self-employed status.

The role is gruelling and, at times, dangerous. Riders face threats from heavy traffic and brazen thieves who frequently steal bicycles and mopeds with little fear of being arrested by overstretched police forces.

Muhamed Ahmed began working for Deliveroo after arriving in Britain from his home town of Hyderabad, India.

He makes £50 ($70) on weekdays but this can rise to £70 ($96) a day on weekends, a figure that works out to £3.50 ($5) per delivery. Once, Muhamed made just £17 in a day, despite working a nine-and-a-half hour shift.

"I cannot survive in this kind of situation", he told The National. "Up until now, I have not had any support from Deliveroo. If they give sick pay, holiday pay or wages, then that would be very helpful for us.

“When we are on the road, we do not feel safe. We have to do it because we need the money. We are putting our life on the road and still we are not getting proper pay."

Jabed Hussain says he was one of Deliveroo’s first delivery riders in 2015 but gave up after he was sprayed with acid during a robbery in East London several years ago. The disturbing attack brought the plight of gig economy drivers to national attention.

Since then, he has campaigned for better conditions for riders, who he says are treated like “slaves”.

“I have been out of work. I feel I still have trauma. I am not getting any help, nothing at all, which is really unfair to me and for my family as well."

“I know a lot of drivers are depending on the food bank because they're delivering food and don’t have enough money left in their pockets.”

Naveed, a student from India, told The National he had made just £38 for nine deliveries.

“It’s not good for us ... There are a lot of drivers who are struggling,” he said.

In stark contrast, Deliveroo founders Will Shu and Greg Orlowski stand to make millions from Wednesday's IPO, despite shares flopping 26 per cent.

Deliveroo was contacted for comment but no one was immediately available.

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”