The province on Sunday, Sept. 26 announced it has extended an order capping service fees charged to restaurants by food-delivery companies, an effort to support one of the sectors hardest hit by the COVID-19 pandemic.
“The restaurant industry has shown incredible strength and resiliency throughout the pandemic,” said Ravi Kahlon, Minister of Jobs, Economic Recovery and Innovation, in a release. “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.”
Extended under the COVID-19 Related Measures Act, the order will continue to cap fees charged to restaurants by food-delivery companies at 15 per cent. An additional cap of five per cent will also be extended for other related fees, such as online ordering and processing fees.
Exempt from the order are small-delivery service companies that serve less than 500 restaurants. The order also prohibits delivery businesses from reducing compensation for their drivers.
“This is welcome news for B.C. restaurateurs,” said Mark von Schellwitz, Restaurants Canada’s vice-president for Western 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.”
Unsurprisingly, food delivery services saw a surge in business during the pandemic, with a report from Dalhousie University’s Agri-Food Analytics Lab estimating that, in the last six months of 2020, 4.2 million more Canadian ordered food online at least once a week than before COVID-19.
So far, more than 3 million British Columbians have signed up for B.C.’s new vaccine card, an effort by the province to ensure a safe dine-in experience, with restaurants and other non-essential businesses requiring patrons to show proof of vaccination before entry.
The revised order is set to expire on Dec. 31, at which point the province will review it in light of the pandemic.