Food delivery platforms should not use secretive algorithms to set drivers’ wages, Democratic Progressive Party Legislator Fan Yun (范雲) and labor rights advocates said yesterday.
Platforms routinely use confidential algorithms to calculate a driver’s pay, which leads to seemingly arbitrary paycheck deductions, National Delivery Union spokesman Patrick Su (蘇柏豪) told a news conference in Taipei to mark World Day for Decent Work.
Foodpanda’s drivers formerly receive NT$60 per delivery, but the firm has changed its policy and cut their nominal pay to about NT$35 to NT$40 per delivery, he said.
Photo: Tu Chien-jung, Taipei Times
Based on the platform’s algorithm, which adjusts the payment to the driver’s rate of successful deliveries, the payment they receive per order can be as little as NT$22 to NT$30, he said.
Although the platform claims that the algorithm rewards drivers who make more successful deliveries, drivers cannot view their ratings, he said.
Drivers have reported that their pay had been reduced after an unsuccessful delivery caused by a mistake made by the platform or a partnered restaurant, he added.
Drivers believe that the platform is deliberately causing stress to their drivers by announcing their deductions in the middle of the month, he said.
Wage disputes occur constantly at Foodpanda, he added.
The platform can alter its algorithm without giving notice, depriving drivers of their right to negotiate wages, Fan said.
Unlike ordinary contractors, drivers working for the platforms have limited options to find a new employer and are at the mercy of the platforms’ rules, she said.
Many countries have begun regulating the platforms’ use of algorithms to determine wages, as they seek to rein in the uneven balance of power between platforms and drivers, she said.
Spain has implemented a dedicated law, while Italy in July imposed heavy fines on Uber Eats and other platforms for breaching labor and privacy laws, she said.
Fan urged the government to amend the Labor Standards Act (勞動基準法), saying that the act is not equal to the task of protecting Taiwanese workers.
The Ministry of Labor should organize meetings with union representatives and the platforms to draft new policies and provide guidance when necessary, she said.
Additional reporting by CNA
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