In June 2025, the European Commission fined the company €329 million for breaching EU antitrust laws. Photo credit: Predrag Milosevic/Shutterstock
Delivery Hero, the German parent company of Spanish delivery platform Glovo, has reaffirmed its commitment to operating in Spain despite ongoing fines and regulatory challenges related to employment practices.
The company issued the clarification following recent reports suggesting it might reconsider its future in the Spanish market. Delivery Hero stressed that such claims were misleading, noting that it remains fully committed to Glovo’s Spanish operations. The clarification came in response to interpretations of the “going concern” clause contained in Delivery Hero’s half-year financial report. The company pointed out that the wording of this clause is not new and was already present in its 2024 annual report. It emphasised that the clause does not represent a change in strategy or any intention to withdraw from Spain.
Spain has been a difficult market for food delivery platforms since the introduction of the “Rider Law” in 2021, which requires companies to hire delivery riders as employees rather than independent contractors. Glovo has faced several significant penalties for failing to comply fully with the law. In 2022, Spain’s Labour Ministry fined the company €79 million, followed in January 2023 by a further €56.7 million penalty involving around 8,000 riders.
The Spanish Social Security system has also sought approximately €450 million from Glovo in unpaid contributions and penalties related to its previous employment model. Some estimates suggest that the company’s potential liabilities could be between €520 million and €860 million once fines, backdated payments, and interest are taken into account. At the European level, Glovo was fined €329 million by the European Commission in June 2025 for breaching EU competition rules, with Glovo itself responsible for €105.7 million of the total. In response to these challenges, Glovo has taken steps to transition its workforce. By mid-2025, the company had offered formal employment contracts to over 14,000 riders in Spain. While critics argue that some practices remain inconsistent with the intent of the Rider Law, Delivery Hero maintains that the company is making significant progress.
A Delivery Hero spokesperson said:
“We are making great progress in Spain. We have done a lot of work to move riders over to an employment-based model. There are of course costs associated with that and the previous engagement model, but we are working through this. We are in a strong financial position, as shown by our H1 results and we remain committed to operating Glovo in Spain.”
The combination of fines, legal proceedings, and operational adjustments has created a challenging landscape for platform-based delivery companies in Spain. However, Delivery Hero insists that it is adapting and that Glovo continues to operate as part of its long-term strategy in the country. As of August 2025, Glovo remains active in Spain under a legal and regulatory framework that demands substantial compliance measures. Delivery Hero has underlined that, despite the costs associated with adapting its business model, it has no plans to exit the Spanish market.
