24 January 2023



Spain Spain
Geographical scope
  • Type

    Provision of insurance and social protection

  • Type

    Employment contract



The Labour and Social Security Inspectorate in Madrid has proposed a penalty of €57 million on delivery company Glovo for false classification of self-employed workers and illegal employment of migrant workers.

According to the Inspectorate, 7,022 workers have been wrongly classified and as such are under reported for social security registration, amounting to a total of €32.9 million missing in outstanding co-payments from the employer. This amount has been calculated into the penalty by the Inspectorate along with the €19 million missing from the workers contribution. In addition, Glovo has been fined €5.2 million for engaging 813 workers who were employed without the required work permits.

Following the proposal of penalties on Glovo, the company has announced a restructuring plan which will include the dismissal of 250 employees at its head office in Barcelona, Spain.

Updates (2)

The following recent changes to this court ruling have been recorded.

1 February 2024

A Chamber of the National High Court of Spain has suspended Glovo from the payment of €64 million. Glovo had appealed the payment of the fine which is a result of bogus self-employment. The €64 million are comprised of multiple settlement and sanction payments Glovo was previously ruled to deliver.

The background of this court ruling is that Glovo is in a difficult financial situation, including a loss of €209 million made in 2023. The platform warned that it would potentially face insolvency proceedings if it would have to pay the fine now, as it is facing liquidity problems, also due to Spanish banks having reduced or eliminated the credit offered to Glovo. Lastly, the stock value of Delivery-Hero, the multi-national which owns Glovo, has fallen, diminishing the extent to which Delivery-Hero could contribute to the payment of the €64 million.

7 March 2024

Glovo has now had a total of 12 fines suspended by national courts between November of 2023 and January 2024, amounting to €67,3 million in total.

It has been announced that Glovo will have to pay 10% interest on the fines, meaning that the final amount the platform will have to pay is over €70 million. Glovo also needs to provide the guarantee that it will be able to pay the fine in the future.

Additional metadata

taxation, labour market segmentation, employment status
Platform, Government, Court
Transportation and storage



Eurofound (2023), Labour and Social Security Inspectorate (ITSS) fines Glovo €57 million for false categorisation of self-employed and engaging workers without work permits (Court ruling), Record number 4268, Platform Economy Database, Dublin,

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