EFFAT Condemns Lieferando’s Mass Layoffs and Push for Precarious Work in Austria

Mar 20, 2025 | In the spotlight, Tourism

The European Federation of Food, Agriculture, and Tourism Trade Unions (EFFAT) strongly condemns Lieferando Austria’s decision to dismantle its employed courier model, laying off around 1000 delivery riders and 65 operational staff. This abrupt shift to a freelance model—announced by Just Eat Takeaway.com NV (JET)—represents a blatant attempt to sidestep employer responsibilities, worsening job insecurity in Austria’s food delivery sector.

At a time when platform workers across Europe are mobilizing for better wages and protections, Lieferando openly chooses to abandon its workforce rather than uphold fair employment standards, hiding behind claims of ‘market challenges’.

The assertion that the Austrian market leaves no alternative but to shift to freelance work is both misleading and unacceptable. In reality, this decision in food delivery follows the disturbing trend where profit maximization comes at the expense of the livelihoods of the most vulnerable workers. These workers face lower wages, no guaranteed income, and a lack of social protections—creating a race to the bottom in working conditions.

A Call for Urgent Action
Austria is in the process of transposing the EU Platform Work Directive, which aims to combat bogus self-employment (Article 5) and ensure accountability for exploitative subcontracting (Article 3). EFFAT calls on the Austrian government to implement and enforce the Directive swiftly and decisively, ensuring that platform companies like Lieferando cannot undermine workers’ rights with impunity.

EFFAT also urges Lieferando to engage with our trade unions and the Works Council to establish a fair social plan for dismissed workers. The company must take responsibility for those it has left in limbo, particularly migrant workers who face heightened vulnerabilities.

Across Europe, platform workers are standing up against precarious work. EFFAT reaffirms its commitment to fighting for decent wages, secure employment, and strong labour protections in the digital economy. It is time to end the exploitation of food delivery workers and demand that platform companies respect their workforce instead of discarding them.

EFFAT stands in full solidarity with all affected workers and with Austrian EFFAT affiliate VIDA in the hospitality industry. We will not allow platform companies to dictate the future of work through precarious and exploitative employment models.

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