Data Science Investment Counter —Funding raised by UK data science companies in 2018.
£ 5.640 Million

Deliveroo Doles out Shares to its Staff (not to its Riders)

Food delivery service app Deliveroo has announced with much pomp that it is doling out its equities to every member of its staff: 2,000 people are now going to get a small piece of the company’s shares— for an overall value of £10 million.

“Our phenomenal growth and success has been made possible thanks to the hard work, commitment and passion of the people who make this company what it is,” co-founder and CEO Will Shu  said in a Reuters interview. “And that deserves recognition which is why I want all employees to be owners in Deliveroo and to have a real stake in the company’s future as we expand and grow.”

Some have expressed doubts on whether this is little more than a PR stunt, and one overlooking thorny issues. First of all, the shares being handed out are a tiny fraction of Deliveroo’s trove: a puny 0.675 percent of the company’s £1.48 billion value.

Plus, the move reveals once more how little Deliverooo cares for its “riders”— i.e. the people doing the actual food-delivering— who will get nothing despite being the backbone of the company.

Deliveroo has always insisted that its riders are just self-employed workers and not staff, a stance that it exploits to get off the hook when it comes to issues such as sick leave or minimum wage. (Although, to be fair Deliveroo started providing  accident insurance coverage   a while ago.

Image via bit.ly/2rQhALG

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BY SHACK15

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