Provincial fee cap delivers on fairness
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B.C. has become the first province in Canada, and one of a handful of jurisdictions in North America, to implement a permanent cap on fees charged by food-delivery companies.
The Food Delivery Service Fee Act has received Royal Assent and will now provide more cost certainty to restaurant and bar owners throughout the province, effective January 1.
“Shifting consumer habits throughout the pandemic led to B.C.’s restaurant industry continuously adapting to stay open and serve their customers,” Minister of Jobs, Economic Recovery and Innovation Ravi Kahlon said. “By passing legislation to make the delivery fee cap a permanent support for restaurants, we’re leading Canada in providing more stability and certainty to the sector itself, and to the delivery drivers who work within it.”
B.C.’s cap limits the fees for core services that delivery companies can charge restaurants to no more than 20 per cent of the dollar value of an order, echoing similar permanent caps enacted by Seattle and San Francisco. Restaurant and bar owners facing ongoing challenges from the pandemic and global inflation will no longer need to worry about delivery fees as high as 30 per cent returning when the temporary cap would have expired at the end of the year.
