Glovo to Reclassify Spanish Delivery Riders as Employees Following Legal Pressure

The decision ends years of disputes with Spanish authorities over labor law violations and is expected to impact parent company Delivery Hero's earnings.

Glovo, owned by Berlin-based Delivery Hero, announced it will transition its Spanish delivery riders from freelance to employee status to address ongoing legal challenges.
The move follows Spain's 2021 'Rider Law,' which mandates app-based delivery workers be treated as employees rather than independent contractors.
Glovo had previously faced fines totaling €205 million for labor law violations, including failing to hire riders as employees and employing undocumented workers.
The operational shift is expected to cost Delivery Hero €100 million in earnings by 2025 but will provide riders with benefits such as sick leave and job protections.
The announcement coincides with Glovo's CEO being summoned to court and reflects broader European efforts to regulate gig economy platforms.