UBER EATS STUART HIMMEL Operation Department
Since its first market launch in Toronto in December of 2015,
Not everything has been smooth sailing for Uber Eats. Food
Uber Eats is available in 150 markets across the country and
margins are already small and with Uber taking its cut –
there are approximately 40,000 couriers delivering orders
usually 30%, means less for the restaurants. Others are
from 18,000 restaurants globally. Over the last 2.5 years, the
concerned about the conditions those delivering the meals
service has seen an increase of more than 315% in Toronto
have to endure. Drivers are compensated based on individual
restaurants on the platform and a 270% increase in monthly
deliveries they make which give them flexibility to wok where
users in the city.
and when they want but to also keep them off Uber’s payroll. Uber has long been fighting to keep delivery workers and
Janelle Sallenave, head of Uber Eats U.S. and Canada states
drivers from being considered employees. California recently
that this is nowhere near close to the limit of where Uber
passed a bill that many believe makes it more difficult to
wants to take food. She compared being in the first inning of
recognize app based drivers and couriers as independent
a nine inning baseball game.
contractors. Uber maintains its workers still classify as independent contractors and says it will not reclassify drivers
In recent months, Uber Eats has rolled out celebrity food
unless a judge forces it to. New Jersey has demanded that
partnerships delivering dishes from Rachel Ray and Popeyes
Uber pay $649 million (U.S.) in taxes and penalties. The state
meals inspired by the hip hop group Migos. Kim Kardashian
claims that Uber has misclassified workers for years.
West was used to promote Uber Eats for an Australian Ad
In Toronto, Foodora couriers are trying to become the first
and in Toronto; Uber Eats recently hosted a pilot of letting
app-based workforce in the country to join a union – a move
customers order food before arriving at a restaurant.
that has delved into whether the workers should be classified as independent contractors or not. Toronto Uber staff and
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MBE BUSINESS MAGAZINE FEBRUARY / MARCH 2020
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