The Fair Work Ombudsman has abandoned a test case investigating Foodora’s contracting arrangements after the company went into voluntary administration.
The decision lays bare a broken system will little possibility of justice for working people.
Foodora set up shop overnight and got out as soon as there was any possibility of being made accountable for the wellbeing of its workforce.
A case brought by the Transport Workers Union against Foodora remains before the court and will proceed.
Statement from ACTU Secretary Sally McManus:
“Our workplace laws are so broken that a company can deny people the basic protections of employment and the ombudsman abandons the case against them after they cut and run out of the country.
“The system is out of balance – working people get fined for taking industrial action, but employers face no consequences for stealing wages or using sham contracting arrangements to deny workers their rights.
“We need to restore balance and ensure that all workers have legal rights and pay, regardless of where or how they work.
“We stand with the TWU who are fighting to change the rules for workers in the gig economy. We will never tolerate workers being treated as second class, or not enjoying the rights which all working people have fought for.”