Lieferando terminates employment for every fifth delivery driver - Lieferando dismisses one out of every five of its delivery drivers
### Lieferando Announces Restructuring Plan, Sparking Union Outcry
Lieferando, a prominent food delivery service in Germany, has unveiled a restructuring plan that includes job cuts and a shift towards subcontracting delivery services in certain areas. The plan, which affects around 2,000 driver positions, or 20% of Lieferando's delivery workforce in Germany, is part of a broader strategy to enhance delivery efficiency [1][2][3].
The restructuring is driven by the rapidly evolving competitive landscape in the food delivery market. Lieferando aims to meet changing customer expectations for reliable and swift delivery services, but believes its current operational structure may not be sufficient to meet these demands effectively [1][3].
Under the new plan, Lieferando will reduce its workforce in some cities, such as Hamburg, while partnering with specialized logistics firms to handle deliveries using their drivers in smaller markets like Wiesbaden, Lübeck, and Bochum [1][3]. The company has already piloted this subcontracting strategy in some Berlin districts and will maintain direct delivery operations in high-demand areas [2].
However, the union representing food service workers, the Food, Beverages, and Catering Union (NGG), has sharply criticized the job cuts and subcontracting strategy. Mark Baumeister, head of the NGG Hospitality department, has called on Lieferando to withdraw the dismissals and live up to its responsibility to employees [2][4]. The union fears that the subcontracting strategy could undermine occupational safety and blames Lieferando for creating a "shadow fleet" of subcontractors to pressure existing drivers into worse contract terms [2][4].
The NGG has been advocating for a national collective agreement for two years, but Lieferando's parent company, Just Eat Takeaway, has resisted this move. Recently, over 100 Lieferando drivers in Hamburg participated in a 36-hour strike called by the NGG to protest the lack of collective bargaining and worsening working conditions [4]. The NGG is also concerned about changes to the pay structure, particularly the elimination of "order bonuses" starting from August, which were crucial for supplementing drivers' minimum wage of 12.82 euros per hour [4].
In response to the union's criticism, Lieferando has stated that it is committed to ensuring fair wages and permanent employment for subcontracted drivers. The company has also emphasized that it will continue to deliver in high-demand areas and that the order distribution will vary from city to city, depending on local requirements [1][2].
The NGG, however, is not alone in its criticism. The union has urged politics not to stand idly by and watch the job cuts, calling on policymakers to take action to protect workers' rights in the food delivery industry [2]. The restructuring plan is currently underway, and its impact on Lieferando's delivery services and the affected drivers remains to be seen.
- The Commission, in collaboration with the Member States, should scrutinise Lieferando's restructuring plan to ensure it complies with labour laws and promotes fair business practices.
- The Member States, along with the European Commission, should strengthen the regulatory framework for the food delivery industry to protect worker rights, prevent exploitation, and foster a competitive and sustainable general-news business environment.
