Home » The Labor Inspectorate fines Glovo with €79M for failing to comply with the Rider Law by maintaining 10,614 false self-employed
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The Labor Inspectorate fines Glovo with €79M for failing to comply with the Rider Law by maintaining 10,614 false self-employed

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September 21, 2022
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Although a little over a year ago we announced the starting signal for the Rider Law, which came to prevent companies from turning their delivery men into “false self-employed”, now this is back in the news. Labor Inspection has fined the delivery company Glovo for maintaining false self-employed, thus breaching this law. The penalty imposed amounts to €78.7 millionbeing one of the highest to date

Likewise, the Inspection has highlighted that, far from what it would have us believe, Glovo is not an intermediary between delivery men and businesses, but rather is an agent providing delivery services. This is why their workers should be on the payroll and not in that limbo that we know as false self-employed.

A fine that only affects its activity in Barcelona and Valencia, but represents 13.3% of its turnover

The SER has had access to the file opened by the Labor Inspectorate, in which it is specified that they would have carried out two inspectionsone in Barcelona Y another in Valencia. After these, it would have been concluded that Glovo carried out a false self-employed labor fraud, refusing to put 10,614 workers on the payroll (8,331 in Barcelona and 2,283 in Valencia), as stipulated by law.

Because of this, the sanction would have been distributed as follows. In Barcelona Glovo receives a fine of 39 million for keeping workers in a situation of false self-employment and, in addition, must pay 24 million in Social Security fees, in relation to those that should have been quoted. For its part, in Valencia the fine amounts to 10.7 million, added to the 5 million in contributions.

We must remember that, Glovo’s turnover last year was 591 million euros, so this fine represents 13.3% of that amount. A hard blow for the delivery company that could also predict new legal problems for Glovo. Let us remember that in Spain it faces more than 100 legal cases, it has already received 54 minutes from the Labor Inspection and 28 inspections have been carried out.

Glovo will also face a fine for obstruction of justice

The SER has revealed that, in the Inspection file, it is specified a fine of €2,500 for adults, for obstruction of justice. The Minister of Labor and Social Economy herself, Yolanda Diaz He has made some harsh statements in this regard, highlighting that the law applies to everyone, which includes this company, and has promised that, from his ministry, they will not stop until they make this company pay.

The minister has affirmed that Glovo has violated the fundamental rights of workers and has obstructed the work of the Labor Inspection. “It is found that This company is violating labor rights of the workers of Glovo, that is to say, we are facing an action authentically by false self-employed… This company is obstructing the work of the labor inspectoratethis is very serious in a social and democratic state of law in which companies also have to comply with the law… The weight of the law will fall on this company«.

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