October 30, 2021
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In Spain, delivery riders law reshuffles deck for take-away market - Yahoo News

In May, Spain became the first EU country to pass legislation regulating the status of delivery drivers who get around on bikes and motorcycles (AFP/Gabriel BOUYS)

Just weeks after Spain became the first EU member to give delivery workers labour rights, firms that employ them like Uber Eats or Just Eat are still struggling to adapt to a new law which may become a model for the rest of Europe.

As of August 12 when the law came into force, couriers who deliver food, mostly on bicycles and motorcycles, must be recognised as employees instead of being considered self-employed freelancers as before.

This means app-based food delivery firms have to pay employee contributions for benefits like sick leave and protections against dismissal.

The firms say the so-called "Rider Law" -- which only applies to food couriers and not other gig workers -- threatens the 700-million-euro ($850 million) industry in Spain.

The reform has prompted some platforms to seek legal loopholes while others have entered into talks with unions.

Unions argue the law has improved the lot of couriers, whose numbers have exploded in recent years in Spain to around 30,000 according to industry associations.

"All these people now have social protection," said Carlos Gutierrez of the Workers Commission (CCOO) union.

Ruben Ranz of the UGT union agreed, saying the law "is an important improvement for delivery riders whose working conditions have been very precarious."

"But we must remain vigilant because there are still problems to be resolved," he added.

Portugal's leftist government followed Spain's lead and earlier this month approved a similar draft bill that will order app-based food delivery firms to employ couriers as staff.

- Scattergun approach -

British firm Deliveroo announced in late July -- just days before the "Rider Law" was due to take effect -- that it would be pulling out of Spain.

Deliveroo's departure is still being finalised, with the company initiating a "collective redundancy procedure" involving 3,871 people, Ranz told AFP, saying the conditions were not yet clear.



source: https://news.yahoo.com/spain-delivery-riders-law-reshuffles-014958123.html

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