Under the EU Platform Work Directive, which takes effect on December 2, food and grocery delivery apps in Ireland must treat couriers as employees if platforms direct and control their work, unless they can prove an independent contractor relationship under national law.
Grocery Deliveries Surge Across Ireland
Delivery apps are expanding far beyond takeaway food. Deliveroo founder Will Shu has said that groceries could eventually overtake takeaway on the platform.
Legal Tests Under Irish Employment Law
Ireland already has a test for deciding who is an employee. A platform rebutting the presumption of employment is likely to point to the flexibility of app work.
Delivery Commissions and Thin Restaurant Margins Create Financial Pressure
A platform with a large owner can absorb the extra cost for longer than an independent restaurant. Deliveroo’s founder Will Shu has said that it can spend money on keeping prices down for customers since its takeover by DoorDash, rte.ie reported.
Trials of Drones and Automated Robots
Platforms are also trialling drones and robots to manage labor costs. In October, Deliveroo began robot deliveries in London, according to rte.ie.
Common Questions About Employment Presumption and Court Rulings
What triggers the employment presumption under the EU Platform Work Directive?
A rider is presumed to be an employee if an app directs and controls their work, based on an assessment of how the work is actually carried out rather than contract terms.
How do Irish courts determine employment status for couriers?
Courts examine how work is performed in practice, following the Supreme Court’s October 2023 ruling in Revenue Commissioners v Karshan (Midlands) Ltd.
What are the financial implications for independent restaurants?
Independent restaurants operating on 3 to 5 per cent margins face potential cost increases if platforms raise commissions of up to 35 per cent to cover higher labor expenses.
Are delivery robots replacing human couriers in major cities?
Deliveroo has said that robots tested in London and drones trialled in Dublin are intended for short trips rather than replacing the workforce needed for peak evening rushes.
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