Food delivery workers bear the brunt of fuel price rise

The recent rise in fuel prices caused by the war in West Asia has shaken app-based food delivery companies in Tiruchi, causing many of them to restructure their logistics.

Food delivery workers are the worst hit by the price revision as their daily earnings have taken a hit.

Last week, oil marketing companies increased the prices of petrol and diesel by ₹3 a litre across all variants, including regular, premium, and high-octane products. After the rise, a litre of petrol in Tamil Nadu costs between ₹103 and ₹105 while that of diesel is priced between ₹95 and ₹97.

“We get a daily fuel allowance of ₹20 a km. If the order is to be delivered at a place a bit further away, we get an additional payment of ₹6. However, we often get orders that are usually much beyond the stipulated distance, and end up paying for the extra petrol out of our pocket,” Santhosh Kumar, a food delivery partner, told The Hindu on Monday.

To be eligible for fuel allowance, partners must work a regular shift of delivery runs from 12 p.m. to 3 p.m. and 7 p.m. to 11 p.m. “If we are able to deliver 17 orders, we can expect to earn ₹167 for fuel. For 23 orders, it goes up to ₹240. But in reality, achieving even 17 deliveries in a day is difficult because of the waiting time at the restaurants and the delay in reaching customers. At times, towards the end of the shift, we are assigned long-distance deliveries in areas such as Samayapuram or Manachanallur, which often leads to working extra hours beyond 11 p.m.,” said Mr. Kumar, who works from Thillai Nagar.

Since most food delivery workers are already paying off vehicle loans, the additional fuel expense had made it difficult to make ends meet.

“Workers in this sector are typically paid weekly wages. On a regular shift, delivery partners can expect to earn between ₹11,000 and ₹12,000 a week. But increasingly, we spend ₹5,000 a week on petrol. The monthly earnings are hardly enough to support a family and other financial commitments,” said Sundar, a delivery partner working from Vayalur area.

From March, app-based delivery services Swiggy and Zomato began charging ‘platform fees’ irrespective of the cart value or delivery location, making food ordering more expensive. Increasing fuel costs will only add to the pressure on the gig workers who sustain food delivery service businesses.

“The best option would be for food platforms to increase our fuel allowance to at least ₹50 a km, so that we can continue to fulfil orders and earn a proper income,” said Mr. Sundar.