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Deliveroo out: Sad final message as delivery service exits Australia

A Deliveroo rider and the message from Deliveroo to customers.
Deliveroo has made the 'sad decision' to leave Australia. (Source: Getty/Deliveroo)

UK-owned Deliveroo will exit the Australian market, effective immediately, with more than 15,000 jobs set to be impacted.

The company told its customers it had gone into voluntary administration, unable to gain the market share against its competitors in Australia.

“We have today made the sad announcement that we are leaving Australia. This has been a very difficult decision to make,” the company said.

“We have enjoyed serving you the amazing food that Australia is known for, as well as working with thousands of brilliant restaurants and riders. Thank you.”

Deliveroo launched in Sydney and Melbourne in 2015 before expanding across the country and had 120 staff. The move will affect those staff members as well as 15,000 delivery partners, and more than 12,000 restaurants who offered meals through the service.

The company said it just could not continue to operate without making a significant investment in Australia to challenge its competitors.

"In Australia, we have concluded that achieving a sustainable position of leadership in the market is not possible with a disproportionate level of investment, which would have highly uncertain returns," the statement said.

Transport Workers' Union (TWU) national secretary Michael Kaine said the group would seek an urgent meeting with Deliveroo administrators in a bid to secure assistance for delivery workers.

"This will be a shock to the thousands of food-delivery riders who rely on Deliveroo for income," Kaine said.

"The TWU has sought urgent consultation with administrators on what entitlements might be clawed back for food-delivery riders who stand to lose their jobs in the blink of an eye."

Deliveroo was one of the first meal-delivery services to launch in Australia, arriving one year before Uber Eats and the same year local company Menulog was acquired by British firm Just Eat.

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