Canadian Union of Postal Workers, Koskie Minsky, foodora Canada and Delivery Hero announce settlement with riders

TORONTO, Aug. 25, 2020 (GLOBE NEWSWIRE) -- Today, foodora Inc. (“foodora Canada”) a subsidiary of Delivery Hero SE (“Delivery Hero”), the Canadian Union of Postal Workers (“CUPW”) and representative counsel for former riders of foodora Canada (the “riders”) announced a settlement with regards to recent disputes around foodora’s exit of the Canadian market.

Delivery Hero has agreed to fund a settlement payable to representative counsel and the riders in light of foodora’s exit from the Canadian market. This settlement will resolve the ongoing claims by CUPW against foodora Canada and Delivery Hero currently before the Ontario Labour Relations Board, and will provide financial compensation to riders across Canada.

“Following the difficult decision to shut down the foodora Canada business, we have been committed to finding a way forward that our entire delivery community can agree with. Particularly given the hardships created by the COVID-19 pandemic, we’re glad to have reached an agreement to financially compensate riders, foodora Canada’s employees and other creditors to minimize the impact of exiting the Canadian market,” said David Albert, Managing Director of foodora Canada.

“We appreciate the willingness of Delivery Hero and foodora to negotiate a settlement quickly that will provide meaningful compensation to the riders, particularly in the the circumstances created during COVID," said Andrew Hatnay, Partner at Koskie Minsky.

On April 27, 2020, foodora Canada filed a notice of intention to make a proposal under the Bankruptcy and Insolvency Act, and continued to run its business through to the end of the day on May 11, 2020. CUPW filed an unfair labor practices complaint with the OLRB against foodora Canada, Delivery Hero and others on April 29, 2020. On July 8, 2020, Cavalluzzo LLP and Koskie Minsky LLP were appointed by the Ontario Superior Court of Justice to represent the riders in discussions with Delivery Hero and foodora, which culminated in the global settlement.

About Delivery Hero

Delivery Hero is the world’s leading local delivery platform. The company has a strong presence in 39 out of 43 countries in which it is operating across Europe, Latin America, Asia, the Middle East and North Africa. Delivery Hero also operates its own delivery service primarily in over 600 cities around the globe. Headquartered in Berlin, Germany, the Company group has more than 25,000 employees. For more information, please visit www.deliveryhero.com 

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