Foodora Canada to Receive $3.46 Million in Settlement for Workers

Earlier this year, Foodora Canada announced it will cease its operations in the country after filing for bankruptcy, and now, its parent company Delivery Hero has finalized a settlement of $3.46 million with the Canadian Union of Postal Workers (CUPW).

“We’re happy to see Foodora has acknowledged its workers deserve a settlement. It’s a big change for gig workers,” said Iván Ostos, Foodora courier and union organizer.

“This settlement shows what happens when workers have unions fighting for them,” says Jan Simpson, CUPW National President. “To lose your job during a global pandemic is stressful, but to lose it as a gig worker, with no guaranteed access to government funds is truly terrifying,” he added.

“Foodora may have left Canada, but the workers are part of CUPW,” says Simpson. “We will continue to fight for their rights, whether it is through the negotiation of this settlement or through collective bargaining with a new employer. We are in this together.”

Back in February, the couriers and drivers in Toronto and Mississauga were granted the right to unionize, with almost 90% of Foodora couriers voting in favour of unionizing with CUPW to become the first app-based workers in Canada to successfully unionize.