Food delivery platform Uber Eats will shut down on 31 December 2021.
Launched in 2016, Uber Eats was a late arrival to Hong Kong’s food delivery sector where Foodpanda and Deliveroo had a head start and have since become the two dominant platforms.
According to data analysis site Measurable AI, Uber Eats has barely 5% local market share compared to market leaders Foodpanda’s 51 percent and Deliveroo’s 44 percent.
Angry delivery staff at Foodpanda are staging a two-day strike over the company’s unreasonable cuts in delivery fees.
Protesting staff, carrying banners including “Stop unreasonable pay cuts” and “Foodpanda treats us like slaves!”, gathered outside the firm’s Pandamart warehouse in Kwun Tong where a spokesman Mr Cheng said the company had been cutting fees since the beginning of the year.
The fee for motorcyclists has dropped to $40 per order and for cyclists and on-foot delivery staff to $20-odd. Cheng added, “We have finally reached the bottom of the barrel this time, so we have finally broken out and started a strike!”
According to delivery staff, Foodpanda has reduced the minimum delivery fee several times since January this year on the grounds that it was “for the long-term development of the company” and “to increase the bonus during peak hours”, reducing the fee by at least $10 per order.
Cheng said they would need to work 10% more orders than in January to earn the same salary. Staff are demanded a pay rise, increasing the delivery fee to $50 per order for motorcyclists and $35 for cyclists and on-foot deliverers.
When Foodpanda was first established in Hong Kong, delivery staff were employed on a contract basis. Now they are self-employed, which means no benefits such as sick leave, work injury insurance and MPF. Cheng also said that the delivery staff could be involved in traffic accidents or have their orders cancelled due to “theft of food”. They strongly demanded a pay rise, increasing the delivery fee to $50 per order for motorcyclists and $35 for cyclists and on-foot deliverers.
When Foodpanda was first established in Hong Kong, delivery staff were employed on a contract basis, but now they are self-employed. As a result, delivery workers now lack benefits such as sick leave, work injury insurance and MPF.
Cheng said that delivery staff could be involved in traffic accidents or have their orders cancelled due to “theft of food.” If an order is cancelled two to three times, their account will be suspended for 7 days and they will not be able to work. He added that the company often does not check the reason for an order cancellation, leaving deliverers with no job security and seriously affecting their livelihood.
Apparently, employees can express their opinions through the company’s mobile phone software if they have any complaints. Cheng said, “Bullshit, that’s impossible.” If Foodpanda doesn’t address their concern Cheng said the strike action might escalate.
image: inmediahk
