Government extends cap on food delivery service fees

Delivery fee cap extended

Restaurants in B.C. are getting a much-needed break.

The government is extending a 15% cap on food delivery service fees. The order will continue to cap fees charged to restaurants from food delivery companies Like Skip the Dishes and Doordash.

It was set to expire on Sept. 28, 2021, but it is now in effect until Dec. 31, 2021, at which point it will be reviewed, taking into account the ongoing COVID-19 pandemic.

"This is welcome news for B.C. restaurateurs," said Mark von Schellwitz, vice-president Western Canada, Restaurants Canada. "During the past 18 months, takeout and delivery sales has become a lifeline for restaurants and will continue to provide a critical revenue stream on our road to recovery. We appreciate the B.C. government listening to our hard-hit industry and extending this measure."

"The restaurant industry has shown incredible strength and resiliency throughout the pandemic," said Ravi Kahlon, Minister of Jobs, Economic Recovery and Innovation. "In tough times like these, people look to each other to find support and guidance, and that includes government. This extension helps one of the hardest-hit sectors stay open as we slowly and safely emerge from the pandemic."

Small-delivery service businesses that serve less than 500 restaurants will continue to be exempt from the order. The order also prohibits delivery companies from reducing compensation for their drivers, allowing employees to continue to be paid their regular wages.

The province is also working with restaurants to help them through the launch of the BC Vaccine Card. More than three million people have signed up for the card since the requirement to show proof to dine-in and attend other events went into effect earlier this month.

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