Wolt Confirms Agencies Receive 100% Of Couriers’ Tips – And It’s Up To Them To Divvy Cash Out
Leading food delivery service Wolt has confirmed that courier tips paid via the app are only passed directly to drivers when they are self-employed.
However, when drivers are employed by recruitment agencies, as is the case with many third-country nationals, the tips go to the agencies, who are then responsible for passing the money on to the workers.
“Wolt delivers its service in Malta by directly engaging with courier partners who are self-employed and through agreements with third-party fleet companies,” a Wolt spokesperson told Lovin Malta.
“In the case of the former, Wolt can confirm that 100% of tips go directly to the courier partners. In the case of courier partners who are employed by fleets, Wolt’s relationship is with the fleet company, not the courier partner.”
“Therefore, in these cases, 100% of the tips are passed on to the fleet companies. How these tips are distributed depends on the employment contracts between the fleet companies and the courier partners which are, of course, private agreements over which Wolt has no influence or control.”
The news comes following a strike by up to 500 couriers registered with Bolt Food over massive decreases in their earnings and other disputes with the food courier company.
A bulk of those striking were third-country-nationals employed through fleet agencies, who sometimes have to hand over up to 50% of their earnings to the agencies. However, it should be noted that there are some fair operators in the field, who offer better rates and conditions.
Wolt’s app allows people to tip couriers between 50c and €100 prior to the delivery, with the app stating the courier “will get 100% of your tip after delivery”.
A discussion on the topic recently arose on the popular Are You Being Served Facebook forum, after a user recounted how a third-country national Wolt courier informed her that couriers only pocket 50% of tips paid via app.
Many people therefore urged Wolt users to tip couriers directly in cash post-delivery to ensure they keep all the money as the tip is intended.
The food courier industry – mainly dominated by Wolt and Bolt – surged in popularity in Malta during the COVID-19 pandemic and it has remained very much active following the end of restrictions on restaurants and social gatherings.
Indeed, a recent MaltaToday survey found that around 21% of people order food from Bolt and Wolt at least once a week, with the service enjoying most popularity among younger people.
However, the industry has also been criticised over the working conditions of couriers, who are typically employed by recruitment agencies which are then sub-contracted by the food courier platforms.
A recent investigation by the Department for Industrial and Employment Relations (DIER) found that couriers’ employment contracts were not in line with the law, with statutory bonuses, COLA not always paid, overtime, sick leave and vacation leave not covered, and work on public holidays compensated at the regular rate.
DIER released new guidelines for couriers, with their ‘work hours’ based on how many deliveries they carry out. One hour is equivalent to 2.2 deliveries, with the standard 173 hours a month therefore equivalent to 380 deliveries.
Any deliveries beyond that count as overtime.
However, following the strike, some third-country national couriers claim they earn between €2.66 and €3.33 an hour on a good day. The minimum wage in Malta is €4.57.
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