Spain’s Labour Ministry has fined Glovo a further €56.7 million for allegedly violating laws on hiring riders. The company had previously been fined €79m last September. Glovo is a Spanish company that operates in 25 countries, mostly in Europe. The parent company is Germany’s Delivery Hero.
The Barcelona-based Glovo said it would appeal the penalty and said the inspected period was prior to the entry into force of a Spanish law passed in 2021, which forced food delivery platforms to grant riders formal employment contracts. ALSO READ: Spain leads way with new laws to protect workers in ‘gig economy’.
The fine relates to irregularities that the Labour Ministry alleges began in 2019 and affected around 8,000 workers who were not properly hired or did not have adequate work permits as they were foreign nationals.
‘The sanction proposal refers to an operating model that no longer exists in Spain,’ Glovo said in a statement, without confirming the penalty amount.
‘There has yet to be a report from the labour inspectorate or any judicial pronouncement on the new unpublished model currently available in Spain,’ it added.
Glovo said in September it would appeal the fine it had been handed then. ALSO READ: Spain fines the food delivery firm Glovo €79 million. The latest fine imposed on the company was earlier reported by the El Diario news website.
Spain’s 2021 law was one of the first to regulate workers’ rights in the so-called gig economy in Europe.
ALSO READ: Spain fines the food delivery firm Glovo €79 million.
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