🍔EU regulation fears sinks Deliveroo shares

View this email in your browser
7th December 2021
Good morning The latest Global Drug Survey has named Australia as the drunkest country in the world after spending more time drunk in 2020 than any other nation. Australians drank to the point of drunkenness an average of 27 times a year, almost double the global average of 15. Brits were the fifth drunkest, becoming intoxicated an average of 22.5 times.
Share for a chance to win £100 Deliveroo voucher Share for a chance to win £100 Deliveroo voucher
Today's stories
  • EU regulation fears sink Deliveroo shares
  • Tesco workers plan festive strike
FOOD DELIVERY
EU regulation fears sink Deliveroo shares


What’s going on?
The rumours that the EU could introduce stricter labour laws on gig economy workers sunk shares in Deliveroo by 7% yesterday.


Why is this important?
It’s expected that as early as tomorrow the EU will announce new rules that will see gig economy workers treated as employees rather than contractors. According to Bloomberg, as many as 4.1m people working through food delivery and ride-hailing apps could be reclassified as employees.

The rumours crushed shares in Europe’s biggest food delivery apps.

London-based Deliveroo dropped 7% to a record low and European rivals Just Eat and Delivery Hero also fell about 5% in Amsterdam and Frankfurt. 

The change in labour laws would see delivery riders entitled to benefits such as minimum wage, sick pay and paid holiday. These increased costs would either be borne by the business and therefore dent profitability or be passed onto consumers.

The classification of delivery drivers has been a touchy issue since the emergence of delivery and taxi apps almost a decade ago.

Critics argue that working as a contractor i.e. being self-employed limits the rights of riders whilst benefiting the company with flexible, cheap labour. 

Takeaway
The news is another headache for Deliveroo in what has been a rocky first year as a public company. Shares dropped 25% on its debut in March and since then has been hampered by questions on how the business will grow in light of the easing of Covid restrictions on out-of-home dining. 
RETAIL
Tesco workers plan festive strike

Tesco shelves could be barer this month as 1,200 of its warehouse workers and lorry drivers threaten to walkout over a pay dispute.

The Unite union that represents the workers says that the proposed 4% wage increase was less than inflation so translated to a real terms pay cut. But Tesco says it’s the highest raise in 25 years.

If both sides can’t come to an agreement then workers will strike throughout December starting next week. This would undoubtedly impact store deliveries across the UK in the busy Christmas period. In any year this would be a nuisance but especially in 2021 when retailers are wrestling with clogged up global supply chains.

Supermarkets have already flagged that festive product choices will be narrower to focus on being able to have the essentials for the season available.

Retail pay disputes at this time of year are not uncommon as worker bargaining power increases in the run up to Christmas.

Last week Morrisons avoided a walk out in its distribution centre after it improved its pay offer. Although Tesco says it has a backup plan if the strike goes ahead it would be a risky strategy to rollout a contingency during a critical trading period.
Stat of the day

Nearly 80% of City of London workers were back at their desks last week - the busiest offices have been since March 2020
Other stories to keep you in the loop
  • Inflation 'comfortably' above 5% next spring as energy bill hikes bite says Bank of England
  • High Court declares Uber business model unlawful
  • Gender pay gap sees little improvement in 25 years
  • 300 Northern Spar stores close as 'cyber attack' takes out IT system
  • US sportswear giant Lids opens first UK shops as it launches global expansion
  • Amigo Loans shares dive again as lender requests £100m rescue package 
  • China Evergrande shares hit record low as it edges closer to default
  • New York City sets Covid vaccine mandate for all private employers
Interesting links from around the web
Forward to Friend Forward to Friend
Not a subscriber? Join free
Twitter
Sent this by a friend? Sign up here
How did you like today's email?
Get in touch with any feedback or even just to say hi
hello@marketloop.co

Copyright © 2021 Market Loop, All rights reserved.

Want to change how you receive these emails?
You can update your preferences or unsubscribe from this list (and break our hearts).

 






This email was sent to you
why did I get this?    unsubscribe from this list    update subscription preferences
Market Loop · 16 Great Chapel St · London, London W1F 8FL · United Kingdom

Email Marketing Powered by Mailchimp

Older messages

👢Booted off?

Monday, December 6, 2021

.... and🍟 The chips are down View this email in your browser 5th December 2021 Good morning Last week the US adopted a new way for creditors to chase down debts using social media. Debt collectors can

💷Rich Brits

Friday, December 3, 2021

.... and 🎀All Thai'd up? View this email in your browser 3rd December 2021 Good morning Earlier this week, US lawmakers proposed a new bill – the Stopping Grinch Bots Act - to prevent bots from

📊UK on track for best growth in G7

Thursday, December 2, 2021

.... and 💸London crowdfunding pioneer snapped up View this email in your browser 2nd December 2021 Good morning The tenth edition of the 'Forbes 30 Under 30' list has been released featuring

✈Flying in the red

Wednesday, December 1, 2021

.... and 👪Keeping it in the family View this email in your browser 1st December 2021 Good morning To mark the first day of December and the official countdown to Christmas, we're giving you a

🚢Asda charters private ship to save Christmas sales

Tuesday, November 30, 2021

.... and 👋Twitter CEO logs out …again View this email in your browser 30th November 2021 Good morning At midnight Barbados became the world's newest republic after ditching the Queen as head of

Weekender: Gucci seeks next generation of esports talent with gaming academy

Saturday, May 28, 2022

Signup | Forward Marketing Dive Weekender May​ 28,​ 2022 | A roundup of this week's most read stories Hootsuite BROUGHT TO YOU BY — Hootsuite Want to boost social ad performance? Learn why paid and

Weekender: Retail turmoil comes for off-price

Saturday, May 28, 2022

Signup | Forward Retail Dive Weekender May​ 28,​ 2022 | A roundup of this week's most read stories Twilio BROUGHT TO YOU BY — Twilio Twilio's State of Customer Engagement Report Retail has seen

We’ve solved every marketers largest problem...

Saturday, May 28, 2022

Every single marketer & their grandma has shared this one issue since they started working online. ​In fact, it's one of the first problems we've all noticed & we've yet to find a

Truth Telling + Recommended Reading

Saturday, May 28, 2022

We may not control everything life presents us, but we can refuse to be reduced and defeated by it. May 28, 2022 | Read Online Truth Telling + Recommended Reading We may not control everything life

The Best Marketing Strategy Produces the Worst ROI

Saturday, May 28, 2022

In marketing, everyone talks about ROI. You want to generate more than you spend, right? Well, who doesn't? Did you know that there is a strategy that produces a terrible ROI, but it outperforms

158 - Aviva Pinchas

Saturday, May 28, 2022

Aviva Pinchas is the Head of Growth at Parabol and she has been working remotely for 8 years ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

The Latest from SaaStr: The Top 20 SaaStr Surveys On Freemium, Discounts, Paid Pilots, Raising Prices, And More

Saturday, May 28, 2022

Plus, the latest from SaaStr To view this email as a web page, click here saastr daily The Top 20+ SaaStr Surveys On Freemium, Discounts, Paid Pilots, Raising Prices, And Much More By Jason Lemkin ·

What next for PE and tech?

Saturday, May 28, 2022

How market turmoil will affect 11 key tech verticals; PE's $1T playbook; Large funds push LPs to the limit; VCs are losing an appetite for foodtech... Read online | Don't want to receive these

Buyers and Investors In Pre - Revenue Companies are an Endangered Species

Saturday, May 28, 2022

THE EXIT STRATEGIST Buyers and Investors In Pre - Revenue Companies are an Endangered Species Before you dismiss my premise and label me as one who is out of step with the highly publicized social

📣 Welcome to...Marketing Yourself Without Social Media

Saturday, May 28, 2022

Welcome! You're about to enter into a whole new world. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌