Spain has fined the food delivery firm Glovo $78 million.
The country’s labour ministry said Wednesday (September 21) that the company – owned by Germany’s Delivery Hero – broke a law that required food delivery companies to formally hire riders.
Labour Minister Yolanda Diaz accused the Spanish firm of violating fundamental labour rights.
She also accused the company of obstructing the investigation.
Glovo did not immediately comment on the matter.
It comes a year after Spain passed a law which clarified the employment status of riders working for food delivery platforms.
Authorities said they had to be employees signed to labour contracts, rather than freelancers.
Investigators said Glovo had refused to give labour contracts to more than 10,600 riders in Barcelona and Valencia since the law came into effect.