Just Eat to axe 1,700 workers as demand for food delivery slows
Just Eat are to lay off around 1,700 delivery drivers as demand for food delivery slows down.
Staff were informed of the decision earlier today, according to reports in the Telegraph, with as many as 170 operations staff also impacted by the decision.
Those being laid off are employed delivery drivers rather than self-employed, and they have been given six weeks’ notice that they will no longer be employed on full contracts.
Just Eat says this notice does include full pay.
Just Eat says the move comes as it tries to "reorganise and simplify" its delivery operation as part of an "ongoing goal" to improve efficiency.
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This process involves the firm moving away from the "worker model for couriers" or "scoober model" which it says "is a small part of our overall delivery operations".
Just Eat says these specific operations run in "certain parts of six UK cities".
The delivery company says it plans to "transition to our self-employed model", which it already predominantly uses across the UK.
However, Just Eat says the decision is still "subject to consultation".
For the 170 operations staff impacted, Just Eat says it will look at whether it can "redeploy" them into other roles internally.
In a statement, a Just Eat spokesperson said: "Just Eat UK is reorganising and simplifying its delivery operation as part of the ongoing goal of improving efficiency.
"As part of this process, we have proposed to transition away from the worker model for couriers, which is - running in certain parts of six UK cities.
"There will be no impact to the service provided to partners and customers."
“Our top priority now is to support impacted employees and couriers. We are hugely grateful to our talented colleagues and couriers who have been part of the worker model in the UK.”
Just Eat launched its "scoober" working model in 2020 and the company originally set a goal of having 1,000 UK riders on scoober contracts by the following April.
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It far exceeded this target and then planned on bringing 1,500 delivery riders in Liverpool onto this worker model.
Just Eat said that for the scoober model to work "effectively and at scale, there needs to be a level playing field."
The delivery firm said it will retain the employed courier model in most parts of continental Europe and plans to expand it later this year.
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