Support the Foodster United Courier Workers!


Foodora workers, fighting for their right to organize, participate in 2019 Labour Day parade
in Toronto.

On April 27, Foodora, one of the main restaurant delivery operators in Toronto, abruptly announced it was closing up operations Canada wide effective May 11, on two weeks' notice. The announcement came two months after a precedent-setting decision by the Ontario Labour Relations Board which recognized that the delivery service's couriers had the right to unionize. Foodora's exit from Canada has only one objective, to smash the unionizing efforts of the couriers. Monopolies should not be able to cut and run without any obligation to their employees or Canadian society. Workers' Forum condemns the Foodora decision. It is an affront and assault by international finance capital on the rights of all Canadian workers.

Foodora delivery workers, calling themselves Foodsters United, fought long and hard to exercise their right to unionize. They were organizing to be recognized as a Local of the Canadian Union of Postal Workers: Foodsters United, CUPW Courier Local 104. A year ago, on May 1, 2019, they marched to the Foodora office demanding respect, safety and fair pay. They have rallied to help each other survive this pandemic by setting up a hardship fund, distributing personal protective equipment, making sure workers collect the Canada Emergency Response Benefit, and checking in to make sure they're safe. Now, with this announcement, the delivery workers continue to support one another to help find solutions collectively.

Foodora is a wholly owned subsidiary of Delivery Hero, a Europe-based global monopoly which projects revenues of EUR 2.4 billion to EUR 2.6 billion for 2020 and a year- over-year growth rate of about 70 per cent. It delivers for 500,000 restaurants globally. Delivery Hero is also in the process of acquiring TakeAway, the parent company of a number of Foodora's competitors such as Just Eat, for approximately U.S. $700 million.

In Canada, Foodora operated in about six cities. Restaurants pay Foodora up to 30 per cent of the order total. The customer pays a delivery fee of $4.50 while Foodora pays its couriers $1/km for the drop-off of the food. That is how Foodora and its parent company Delivery Hero are making a killing!

Foodora classified its couriers as independent contractors to avoid its legal obligation to pay for basic benefits such as Employment Insurance and to exempt itself from recognizing any basic rights of the workers, such as the right to organize. Foodora's abuse of the 'independent contractor' classification put all the financial and physical risks on the couriers, while Foodora kept the majority of the rewards.

On hearing of Foodora's abrupt withdrawal of business operations in Canada, Foodsters United, CUPW Courier Local 104 called on the company to reverse its decision and fulfill its responsibilities to the delivery couriers and to Canadian society. "These are not the sort of jobs that support our economy," Local 104 said. The couriers are among the most vulnerable workers. "Delivery Hero is a giant multinational corporation that can more than afford to continue operations at this time."

Workers' Forum fully supports the struggle of the Foodsters United couriers. Their struggle is but one more reason for Canadian workers to step up their efforts to organize and empower themselves to be the decision makers, in terms of setting wages and working conditions acceptable to themselves, but also in setting a new direction for the Canadian economy, one that guarantees the well-being of the working people and Canadian society removing them from the clutches of global monopolies like Foodora/Delivery Hero!

(Photos: Foodsters)


This article was published in

Number 29 - April 30, 2020

Article Link:
Support the Foodster United Courier Workers!


    

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