…A spokesperson for Uber said “in practice it is only in very few circumstances that we have asked restaurants to cover this cost.”
“Restaurants have always been able to dispute any charge back they don’t agree with.”
Restaurants who are on UberEats will continue to pay a significant cut of every order to Uber every time food is ordered via the app.
Uber charges restaurants a maximum commission rate of 35% of the total order – and 100% of the additional $5 delivery fee.
Some restaurants, especially those who joined UberEats earlier, have a lower commission rate.
Uber also classes its deliverers as independent contractors, not employees, which means they can be paid below award rates of pay, and are not entitled to leave.
The Transport Workers Union said the removal of “unfair contracts” should also apply to the workers who were delivering the food.