Foodpanda apologizes for system error, controversial rider fees restored

The online food delivery platform Foodpanda apologized for a system error that occurred between 7:00 am and 7:30 am on 16 March, resulting in a miscalculation of rider fees and causing controversy. The rider fees were restored to the normal rates, according to the Foodpanda statement dated 19 March. This error reflects a K200 fee during the 30-minute glitch, while a rider normally earns between K550 and K750 for a one kilometre delivery distance. The foodpanda has assured that any deduction as a result of this incident will be corrected and reimbursed and apologized for any inconvenience in the recent days.

Foodpanda responded to the controversial issue. Some riders have recently raised concerns about their pay, rising fuel cost pressure, and a few other issues. As independent freelancers, the riders earn an income based on a fair and transparent fee structure that comprises variables such as the number of shifts they take, the distance they have to deliver, and their performance levels over time. The majority of the riders receive K300,000 on average in delivery pay per month while some top riders could earn up to K600,000 per month.

The base delivery payment has been adjusted downwards over the past months in line with the current market rate. Having heard rider feedback and complaints, Foodpanda is looking at urgent ways to supplement or increase rider pay as much as possible. But service disruptions ultimately hurt the business and rider income. The riders are experiencing financial hardships due to the increase in commodity prices. In line with foodpanda’s goal towards uplifting the community, they are working on increasing the delivery pay as soon as possible for a certain period to help alleviate the current plight of Foodpanda riders.

City managers in the respective cities will soon be notified of this increase. Additionally, they have immediately secured extra funding to roll out fuel price subsidies. It will be notified later, as per the statement. In the last two years, amidst a challenging environment, foodpanda remains strongly committed to the Myanmar community so that restaurants can continue to use the platform to keep their businesses running, riders continue to have income and customers can rely on food delivered to them safely. 

Source: The Global New Light of Myanmar

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