Province Extends Order Capping Fees Charged by Food Delivery Services | BC Gov News
The Province of B.C. announced that restaurants facing unprecedented challenges from the COVID-19 pandemic will continue to be supported through the extension of the food delivery fee cap, which limits the total fees food delivery companies can charge.
The food delivery service fee cap is being extended under the COVID-19 Related Measures Act and will immediately follow the expiry of the current temporary order put in place on December 22nd last year under the Emergency Program Act. The current order was set to expire at midnight (Pacific time) on Sept. 28, 2021.
The order will continue to cap fees charged to restaurants from food delivery companies to 15%. An additional cap of 5% will also be extended for other related fees associated with use of the service, such as online ordering and processing fees. This will ensure companies cannot shift their delivery costs to other fees.
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 revised order is set to expire on December 31, 2021, at which point it will be reviewed, taking into account the ongoing COVID-19 pandemic.