Page 8 - bneMagazine March 2023 oil discount
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8 I Companies & Markets bne March 2023
The cost of living in Tbilisi has risen dramatically over the past year, largely due to an influx of around 100,000 Russians fleeing the effects of war and mobilisation. Rent prices in Georgia's capital city were up more than 103% y/y as of December 2022, according to an analysis by TBC Capital
Demetradze said he earns on average GEL 2.50 per order, or just under one dollar. With these kinds of wages, he barely manages to cover his monthly living expenses. Demetradze added that he would unlikely be able to afford the cost of fixing the scooter he uses for making deliveries were it to need repairs.
As with many gig economy workers, the couriers are not directly employed by Wolt. Instead, they are self-employed "partners," as the company calls them. This means they do not receive the same kind of labour protections usually granted to workers in Georgia. It also means there are no formal channels through which to collectively negotiate better work conditions with Wolt.
The Tbilisi strike came less than a week after hundreds of Wolt couriers in Prague launched a one-day strike in response to the recent changes in how the company calculates payment for deliveries. According to those workers, the changes will lead to a 20% reduction in wages.
So far this year, Wolt couriers in Finland and Israel have also organised strikes. In 2022, similar actions were organised in Azerbaijan, Cyprus, Denmark, and Malta.
The February 5 strike is not the first of its kind in Georgia. Around 100 couriers for the delivery service Glovo launched
“So far this year, Wolt couriers
in Finland and Israel have also organised strikes. In 2022, similar actions were organised in Azerbaijan, Cyprus, Denmark, and Malta”
a strike in March 2021 after the company abolished reimbursement for the distance couriers travel to reach a restaurant or store. At the time, the striking couriers pledged to form a union for gig economy workers.
Demetradze remembered past talks of organising a union, an idea that never materialised.
"I'm not sure what happened with all of that. People were interested. But today I see that there's solidarity among us. That's for sure," he said.
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Image: explore.wolt.com
Wolt Georgia said in a statement sent to bne IntelliNews that the company "respects the right of partner couriers to peacefully express their protest. However, the aggressive and offensive form that yesterday's protest turned into is completely unacceptable to us."
The company added that only "a small group of partner couriers" participated in the strike, claiming they used "physical and psychological pressure" against workers who did not want to participate.
"We encourage everyone to have a constructive dialogue, and the management is ready to listen to all the issues that concern our partner couriers in a dialogue format," said the company.
Wolt did not specify what behaviour exhibited by striking couriers on February 5 it considered "aggressive" and "offensive."
Regarding workers' demands for better pay, Wolt argued
that the new remuneration system "will more fairly calculate the amount of delivery compensation based on performance efforts, which will positively affect the earnings of partner couriers."
In response, workers announced another strike for February 15, to take place in front of Georgia's Public Defender's office in Tbilisi. They are also threatening Wolt with legal action.
Wolt was founded in 2014 in Finland and today operates in 27 countries. Last year, the U.S. food delivery company DoorDash acquired Wolt for $3.5bln.