Just Eat Takeaway.com plans to axe around 1,700 delivery driver jobs and 170 head office roles after a slowdown in takeaway demand.
The Anglo-Dutch firm said the cuts are part of an overhaul designed to improve efficiency as it seeks to reduce costs. It comes after the company saw a 9% slump in customer numbers last year as diners returned to pubs and restaurants.
Just Eat, which employs around 15,000 workers globally, said the cuts are part of a shake-up which will hit a service through which it employs its own couriers across several UK cities. The company has previously sought to differentiate itself from "gig economy" rivals Deliveroo and Uber Eats through the model, which offers reliable wages and sick pay to riders.
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It said on Tuesday that it will retain the employed courier model in most parts of continental Europe. Just Eat said delivery drivers affected by the move will be offered six weeks' notice with pay.
A spokeswoman said: "Just Eat UK is reorganising and simplifying its delivery operation as part of the ongoing goal of improving efficiency. As part of this process we have proposed to transition away from the worker model for couriers, which is a small part of our overall delivery operations - running in certain parts of six UK cities.
"There will be no impact to the service provided to partners and customers. Our top priority now is to support impacted employees and couriers."
The move comes a month after Deliveroo said it would cut about 350 roles, representing 9% of workers, in a bid to react to "unforeseen economic headwinds".
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