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Deliveroo enters administration, leaving riders, restaurants and customers in the lurch
Summary
Deliveroo has entered administration in Australia, leaving 15,000 riders and thousands of restaurants in need of new work. The move affects Deliveroo's staff, riders, and customers, and is due to challenging economic conditions. This follows Deliveroo's decision to quit the German, Dutch, and Spanish markets earlier this year.
Q&As
What is the fate of Deliveroo in Australia?
Deliveroo is leaving the Australian market and will be winding down its operations.
Who is impacted by Deliveroo's departure from the Australian market?
Deliveroo's departure from the Australian market will impact its 15,000 riders, 120 staff, and the thousands of restaurants that used its services.
How will Deliveroo's departure from the Australian market affect its customers?
Customers will no longer be able to place orders with Deliveroo in Australia, but their accounts will remain open for six months so they can download their information.
How will Deliveroo's departure from the Australian market affect its employees?
Deliveroo's employees in Australia will have their employment terminated and will be provided with their outstanding pay and entitlements.
What are the possible reasons for Deliveroo's departure from the Australian market?
The possible reasons for Deliveroo's departure from the Australian market include competition from other food delivery services and the threat of workers getting more rights.
AI Comments
👍 I'm so sad to see Deliveroo go! They were always my go-to for food delivery and I loved their service. I'm going to miss them dearly.
👎 Good riddance to Deliveroo! They were always late with my orders and the food was never as fresh as it should have been. I'm glad they're gone.
AI Discussion
Me: Deliveroo is shutting down in Australia and going into administration.
Friend: That's really sad. I used Deliveroo a lot.
Me: I know. It's really convenient.
Friend: Yeah. I wonder what happened.
Me: It says here that they couldn't compete with the other delivery services.
Friend: That's too bad.
Action items
- If you are a Deliveroo rider or restaurant, contact the administrator to find out what your options are.
- If you are a Deliveroo customer, download your account information as soon as possible.
- Stay up to date on the latest developments in the gig economy, as this will likely have an impact on the food delivery industry.
Technical terms
- Administration
- the process of appointing a company administrator to wind up the business.
- Riders
- delivery drivers who are contractors, not employees, of the company.
- Restaurants
- partner restaurants that are used by the company.
- Customers
- those who use the company's services to order food.
- KordaMentha
- the firm that has been appointed as the voluntary administrator.
- Creditors
- those who are owed money by the company.
- Proof of debt
- a form that creditors must submit in order to make a claim.
- Unsecured creditors
- those who are not guaranteed to receive what they are owed in full.
- Transport Workers' Union
- a union that represents workers in the transport industry.
- Gig economy
- an economy in which people are hired to work on a short-term or freelance basis.
- Labor Party
- a political party in Australia.
- Merger
- the combining of two or more companies.