Spain fined Glovo 79 million euros in 2022 for failing to contribute to social security and make other payments from 2018 to 2021 as it did not hire its delivery riders under formal contracts. Get the latest news and expert analysis about the state of the global economy with the Reuters Econ World newsletter. Sign up here.

Shares in Delivery Hero plunged after the company said its Spanish subsidiary would implement an employment-based model in the country, a move expected to hit profits by around $106 million in fiscal 2025.

Shares of Delivery Hero SE tumbled sharply on Monday after the German company said it would shift to an employment-based model for its freelance delivery riders in Spain.

Investing.com -- Delivery Hero's (ETR: DHER) shares dropped by over 11% after the company announced it would begin employing delivery riders in Spain. This move follows a series of legal and regulatory pressures under Spain's "Rider Law," aimed at reclassifying gig workers as employees rather than independent contractors.

App-based food delivery firm Glovo's freelance riders in Spain will be hired as employees following pressure from the government to give them labour contracts, its German owners Delivery Hero said Monday.

Thousands of delivery drivers in Spain working for the food delivery app Glovo will soon be full employees after the company announced Monday that it was moving to an employment-based model

Glovo, the Spanish subsidiary of the German food delivery service Delivery Hero, is to offer its riders permanent contracts to avoid possible legal uncertainties. The step, taken in response to accusations from Spain's labour authorities,