Hermes will provide couriers with new rights through a deal with a major UK union in a landmark case for the country’s delivery companies.
Couriers, who are classed as self-employed, will be able to receive pro rata holiday pay and guaranteed earnings of £8.55 per hour by choosing to become “self-employed plus”.
The package works through an opt-in model, meaning that those who wish to retain their current status and earn premium rates can do so.
Martijn de Lange, Hermes UK CEO, said the option would allow courierrs to “retain the flexibility of self-employment we know is so important to them and gives them the certainty of guaranteed levels of earning, the security of holiday pay and a strong voice.
“We’re proud to be leading the way with this pioneering development which we hope will encourage other companies to reflect on the employment models they use. We have listened to our couriers and are wholeheartedly committed to offering innovative ways of working to meet peoples’ differing needs.”
Tim Roache, GMB General Secretary, said: “Hermes is leading the way, looking after the people who work for you on the ground day in, day out, is not only good for business but the right thing to do.”
Roache said the deal proved “that the gig economy doesn’t have to be an exploitative economy and we look forward to working with them through this groundbreaking agreement.”