China’s Food Delivery Giants to Introduce Mandatory Rest Breaks for Riders

China’s Food Delivery Giants to Introduce Mandatory Rest Breaks for Riders
Photo: AFP/Getty Images 18.12.2024 340

Digital platforms, according to the SAMR requirements, are trying to improve working conditions for delivery drivers.

Meituan and Ele.me, two of China's largest food delivery platforms, said they are researching and continuously improving measures for preventing fatigue among delivery riders.

Meituan is listening to the opinions of riders and other parties and continues to explore and improve its anti-fatigue mechanisms, a relevant person in charge at the company said yesterday. Ele.me launched rider rest measures nationwide in August, it noted on the same day.

A total of about 12 million riders work in the food delivery industry in China.The industry is projected to reach $280 billion in 2030. 

Rumors circulated online earlier that takeout platforms will send pop-up prompts to riders who have worked long cumulative hours every day to take a rest and only then continue to accept orders. Those who have worked too long will be forced to stop and only be allowed to start taking orders the next day.

Meituan has piloted a fatigue management mechanism in some cities, it said in its third-quarter financial report. When its application detects that riders are working too long, it will prompt them to take a break, and if ignored, it will force them to go offline and rest.

Similarly, Ele.me noted that a recommended short break pop-up reminder would be triggered on its app if riders work too long. Relevant measures are continuously improved, the company pointed out.

Mandatory rest can avoid excessive fatigue and reduce accidents, but it may lower income, a delivery rider told Yicai. Full-time riders typically work eight to nine hours a day, he said.

Last year, delivery workers made 6,803 yuan ($956) a month, according to a report from the China New Employment Research Center. That’s almost 1,000 yuan ($140) a month less than they were making five years ago, despite many reporting working longer hours.

In 2021, China's State Administration for Market Regulation (SAMR) and other regulatory bodies mandated that local food delivery platforms provide drivers with a minimum wage, access to insurance, and improved working conditions.

The order also required platforms to enroll delivery workers in social insurance programs. Additionally, it emphasized that platforms must make greater efforts to ensure road safety for riders.

While the Chinese government has made some efforts to reform protections for these workers, significant changes are still necessary to uphold their fundamental rights. Platform companies use stringent algorithms that prioritise efficiency and profit over worker welfare, creating a stressful environment and leading to high accident and fatality rates due to overwork.

“Chinese consumers increasingly demand high-quality, low-cost services, which pressures platforms to deliver at the lowest possible fees, creating a race to the bottom among platforms. This competition shifts the risks and burdens onto workers, who bear the consequences of these relentless pressures,”

says Hui Huang is Assistant Professor at the Department of Public Economics and Social Policy, Shanghai Jiao Tong University and Research Associate at the School of Social Science and Public policy, King’s College London. 

Often classified as independent contractors, workers lack access to benefits, job security and workplace protections. This informal status leaves riders vulnerable to arbitrary decisions made by platform operators, who can impose penalties for delays or performance issues without accountability.

Policymakers must strike a balance that encourages innovation while ensuring that workers are treated fairly, Hui Huang stresses.

“Immediate action is necessary to protect delivery workers from further exploitation. Platforms must be compelled to raise compensation levels, implement better working conditions and reform their algorithmic management systems to be more humane,”

he says.

Source: Yicai Global

digital markets  China 

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