Many people enjoy the convenience of having prepared meals delivered. Restaurant employees engaged in delivery operations are assigned to Classification 9079(1), Restaurants or Taverns – all employees – including musicians and entertainers, as General Inclusions.
However, not all restaurants offer delivery or employ delivery drivers. Meal delivery companies have emerged to fill this need and have become very popular. Effective September 1, 2021, Classification 7198(1), Parcel Delivery and Messenger Service Companies – including terminal employees and mechanics – no handling of bulk merchandise or freight, was amended to specifically include app-based on-demand Delivery Network Companies (DNC) that deliver restaurant meals, groceries or various store merchandise, or perform errands such as dropping off or picking up dry cleaning.
Many meal delivery companies have arrangements with restaurants to purchase prepared meals directly from the restaurant and then resell the meals to the consumer upon delivery.
A second model for meal delivery companies is to charge delivery fees. In these cases, the meals are not purchased by the delivery company but are picked up from the restaurant and delivered to the consumer for a delivery fee that is paid by either the restaurant or directly by the consumer. In some cases, delivery fees may be charged to both the restaurant and the consumer.
In both scenarios, the business of the employer consists of delivery operations rather than restaurant or store operations. These meal delivery services are classified as 7198(1), Parcel Delivery and Messenger Service Companies, subject to the following classification’s requirements:
The complete description for each classification discussed in this article is available through the Classification Search tool on wcirb.com and through the following links: