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Photo = Yonhap news |
[Alpha Biz= Kim Jisun] On Monday, more than 100 posts flooded the online community of Rider Union, a labor group representing gig economy delivery workers, with images certifying their participation in the “Baemin App OFF” campaign. The collective action, which called for a complete halt in deliveries via the Baemin platform over the weekend—typically a peak time for orders—was marked by screenshots showing “0 deliveries” and “0 won earnings” for the day.
Some restaurant owners also joined the protest. Although they typically have different interests from riders when it comes to delivery fees, they share growing frustration over what they see as excessive control by delivery apps. This has led to a rare sense of solidarity, with both sides claiming that “riders and small businesses alike are suffering.”
A representative from Rider Union criticized Baemin’s recent changes to its fee structure, saying, “The company recently merged its single-delivery service—which used to offer a base fee of 3,000 KRW—into a cheaper service model that now pays only 2,500 KRW. They also scrapped the previous system that added distance-based surcharges starting at 3,500 KRW. This gives Baemin the freedom to alter fees arbitrarily.”
Baemin, however, responded by stating that “since the new unified fee system was introduced last month, Baemin Connect riders have seen an increase in their average earnings.”
Despite mounting tensions among delivery platforms, riders, and small business owners, the government has yet to propose a clear resolution. An official from the Fair Trade Commission (FTC) said they are still reviewing compliance with the voluntary regulations announced in April last year, adding that “further revisions will be considered only after the review is complete.”
In April 2024, the FTC convened a voluntary regulatory council that included major delivery platforms—Baemin, Coupang Eats, Yogiyo—and small business associations. The resulting agreement emphasized initiatives like promoting pickup orders to foster a win-win relationship. However, Baemin recently ended its long-running policy of waiving fees for pickup services, just as the new platform-wide fee reforms were rolled out. Critics say this contradicts the spirit of cooperation and accuse the company of lacking genuine interest in supporting small businesses.
The voluntary nature of these agreements—particularly with some platforms backed by foreign investors—has limited their enforceability. This has only fueled further controversy around delivery fees. With domestic consumption stagnating, there is growing concern that rising commission costs will ultimately be passed on to consumers.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
