Unprecedented step by Just Eat in labor matters. The multinational is negotiating with the unions CCOO and UGT the first collective agreement on working conditions of the so-called riders or distributors of digital platforms, as they have communicated in the company to elDiario.es. The intention is to reach an agreement with the majority representatives of the workers in Spain on the working conditions of the couriers within the company “at the turn of the summer”, they indicate in Just Eat, which has reinforced its commitment to the model labor since the so-called ‘Rider Law’ began to take shape to avoid false self-employed workers in the sector.
Just Eat expands its profits as companies like Glovo predict a debacle for hiring fake freelance riders
Just Eat was the only one of the large multinationals to distribute through apps that he did not use autonomous delivery men, or false freelancers, According to the majority of the Labor Inspectorate and the courts regarding its main competitors: Glovo, Deliveroo and Uber Eats. Just Eat was governed by a labor model, in which the delivery men had contracts for others, but based on subcontracting through other companies. The company, which is directed in Spain by Patrik Bergareche, it is also the only one that presents benefits, compared to the annual losses accumulated by its competitors.
The Ministry of Labor chose to legislate to prevent labor abuse on these platforms and reached an agreement in social dialogue with employers and unions in the one baptized as ‘Law Rider’. The regulation assumes a presumption of employment of the distributors through digital platforms, but that the Ministry of Labor aspires to expand in the future to more sectors of the platform economy.
One of the main novelties of the legislation is to recognize the right of information of unions to labor information determined by algorithms, something unprecedented in European labor law, Vice President Yolanda Díaz has highlighted on numerous occasions.
Just Eat differs from its competitors
The full debate on the Rider Law, the multinational distribution companies that had been sanctioned for using false self-employed workers, made a block to try to prevent it from going ahead. So much promoting organizations of riders related to companies and that they defended the self-employed model, as well as through meetings with opposition political parties. Finally, both Vox and the PP have appealed the legislation before the Constitutional Court for what they consider an abuse of the figure of the decree law, they have justified.
Against the current, Just Eat began to distance itself from the rest of its competitors in his public speech and criticized the unfair competition posed by models based on false freelancers for his company. He also opted to make a difference in his actions: in the middle of the debate on the legislation, the company announced that it would start hiring delivery drivers directly, who would continue to support with others riders outsourced.
In the footsteps in the last days of Glovo, which will continue to distribute with freelancers with a “renewed” model despite the Rider Act, and Deliveroo, which is preparing to leave Spain, Just Eat has once again set itself apart from its competitors with a new commitment to the work model. Now, as for the negotiation of working conditions through collective bargaining with the unions.
“This is a very important negotiation that will mark a historic milestone in the evolution of the sector in Spain”, assesses Patrik Bergareche, director of Just Eat Spain. “This agreement will guarantee the proper functioning of labor relations in a new and dynamic digital environment where technology plays an essential role,” adds the manager, who highlights that Just Eat is “proud” of “having taken the initiative to reconcile innovation and social protection in the performance of an essential activity for our economy “.
In CCOO they consider that the passage of Just Eat “demonstrates to the sector as a whole, and to the rest of the companies in the platform economy, that the search for profitability can be reconciled with compliance with labor legislation and the social protection of workers” , defends Carlos Gutiérrez, head of New Realities of Work in the union. “Now it’s time to make every effort to establish the best working conditions to dignify the work of delivery men and women,” he adds.
The home delivery sector, in the past more visible through fast food companies like Telepizza, was traditionally very fueled by youth employment, part-time contracts, and low wages. In recent years, apps delivery companies expanded ‘delivery’ to many more restaurants and food chains, but with a model based on riders self-employed in a generalized way, who did not have the labor protection linked to contracts for others.
“It is a negotiation with a clear intention by the parties present to collectively regulate the labor relations of Just Eat workers, referring to the sectorial activities regulated in our country, and with a clear intention of laying the foundations for the future of the sector “, assesses Álvaro Vicioso, secretary of Union Action and Communication of FeSMC-UGT.