EU Fines Delivery Hero, Glovo €329 Million for Food Delivery Cartel

The European Commission fined German food delivery company Delivery Hero and its Spanish subsidiary Glovo a total of €329 million ($376 million) for cartel practices between 2018 and 2022. The companies were found to have shared sensitive commercial information, agreed not to poach each other's employees, and divided European national markets, thus limiting competition and reducing opportunities for both employees and consumers. This marks the first time the EU has sanctioned a 'no-poach' agreement in the labor market. The investigation, prompted by dawn raids and whistle-blowers, revealed that these practices were facilitated by Delivery Hero's minority stake in Glovo before acquiring full control in 2022. Both companies admitted to the misconduct and accepted the fines as part of a settlement. EU competition chief Teresa Ribera emphasized that such cartels harm innovation and choice in the sector.