Spain’s food delivery companies under scanner as “Riders Law” kicks in

WhatsAppWhatsAppFacebookFacebookTwitterTwitterPinterestPinterestRedditRedditGmailGmailShareShare

Last updated on October 17th, 2022 at 06:28 am

 Riders Law came into effect in Spain on Thursday that requires food delivery companies to hire drivers and riders as employees and not freelance contractors. In line with this the labor unions have urged close monitoring of the law implementation. Spain’s Trade Union Confederation said the Riders Law would “put an end to the labor fraud that workers in this sector have suffered for too long.”

The Confederation, which is called CCOO as Spanish acronym, said that the labor ministry must ensure compliance with law through monitoring and reporting. 

According to the law food delivery riders must be employed as employees of the delivery companies. It covers around 30,000 workers in Spain. The legislation that was approved in May requires food delivery companies in Spain like Glovo and UberEats to share how artificial intelligence systems and algorithms are assigning workers the jobs and assessing their performance.

Related Posts

These application based platforms say that the new law is a threat to 700 million euro Spanish industry. Deliveroo, the UK based delivery platform, has said it is exiting Spanish market. Many workers too have raised concerns over the new law citing losing flexibility that was possible due to freelance model of the system.

Riders For Rights, a gig economy union said, “Companies will continue to fail to comply with the legislation. As long as it is cheaper for them to pay fines than to hire us, this fraud will persist. They do not understand laws and legislations.” The union noted that as country is witnessing massive heatwave with temperatures expected to soar further, no extra pay or heat protection has been offered to the workers by companies.

Also Read: Court Rules Deliveroo Used Discriminatory Algorithm, Riders Claim

Glovo has shared that it is process of hiring 2000 delivery workers as employees that will be in compliance with the new law. However, old workers will continue to operate as freelancers, the company clarified.

About Aparajita Das

Aparajita loves to share Political-based niche news articles. She is a passionate writer learning about the history of all the regions.

Aparajita Das

Aparajita loves to share Political-based niche news articles. She is a passionate writer learning about the history of all the regions.

Recent Posts

What Does TCS’s 35-Day Bench Limit and End of Remote Work Mean for IT Employees?

Tata Consultancy Services (TCS) announced a new policy for its employees; a new regulation capped the bench period at 35…

June 17, 2025

Can AI Replace Employees? mysite.ai Raises EUR 2.1M to Bring AI Workers to Small Businesses

The Polish startup mysite.ai, formerly Codejet, has raised a EUR 2.1 million pre-seed round to construct a fully autonomous AI…

June 17, 2025

Who Are the 4,000 Iloilo City Workers Now Covered by PhilHealth, and What Benefits Will They Get?

Approximately 4,000 non-plantilla employees in Iloilo City are covered under the health scheme. This covers project-based, job order and contract…

June 17, 2025

Greece’s Free 1-Year Global Nomad Pass Launches June 17 for Remote Workers

What is the Global Nomad Pass programme? On June 17, 2025, Greece launched a new countrywide remote work programme with…

June 17, 2025

2025 International Labour Conference: What Changed for Workers? Details Inside

The 113th International Labour Conference (ILC) was a breakthrough moment for the global workers’ rights agenda, resulting in historic advancements…

June 16, 2025

UK Tightens Immigration: 8 New Rules Every Immigrant Must Know

Several significant changes to the immigration system are now underway in the UK government after the release of a new…

June 16, 2025