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Glovo Cuts 436 Rider Jobs in Spain After Union Deal

The pact signals a pullback from smaller cities with weak demand.

Overview

  • Glovo and a majority of unions agreed to reduce planned layoffs from 750 to 436 riders, with 68 others moved to nearby cities under Spain’s collective dismissal process known as an ERE.
  • Laid-off couriers will receive 37 days of pay per year worked, and their seniority will count from the years they were treated as self-employed.
  • The company will end service in several smaller markets, including Barakaldo, Telde, Palma de Mallorca, Salou, Chiclana de la Frontera, Cullera, Santander, Algeciras and Lucena.
  • CCOO and UGT supported the agreement, while a CGT representative voted against it.
  • Glovo also pledged to negotiate a new collective bargaining agreement, with the cuts affecting roughly 3% of its about 14,000 riders after a recent shift to hiring couriers as employees.