Glovo to close ghost supermarkets amid layoffs and government scrutiny in Spain

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Glovo to shut down its so‑called ghost supermarkets

Glovo plans to close the so‑called ghost supermarkets in Alicante, ending the Super Glovo service in the area. The company has publicly confirmed the move. Labor unions have criticized the decision, noting that it coincides with an ERE layoff plan in the subsidiary that runs this activity.

These facilities function as warehouses where products are stored for sale through the online supermarket on Glovo’s platform. One notable point is that a small number of direct hires existed, with most delivery personnel working under freelance arrangements. This staffing model drew scrutiny from the Labor Inspectorate and the government, who raised questions about how workers were classified and contracted.

In total, Glovo will discontinue the Super Glovo service in six cities where the ghost supermarkets are located: Alicante, Bilbao, Pamplona, Tenerife, Las Palmas, and Granada. These closures mark a significant shift in the company’s local operations.

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A company spokesperson cited a previous hearing when explaining the decision. The firm cited limited access to capital, investment challenges, and a shrinking registered business volume as contributing factors. The spokesperson added that Glovo no longer directly markets products from its own supermarket in all the listed cities, though items from other stores on the platform will continue to be available for sale.

In contrast, Glovo maintains that Super Glovo will persist in markets where the operation remains profitable. The company highlights ongoing activity in Barcelona, Madrid, Zaragoza, Valencia, Seville, Malaga, and Palma de Mallorca as regions where the service will continue to operate.

Changes to working conditions

UGT released a statement saying that beyond the closures and layoffs, the ERE process will also entail tighter working conditions for other workers within Glovo’s operations. They claim a contraction in salary components and reductions in benefits such as transportation allowances, holiday pay, and clothing subsidies.

The union also notes that there are no other fully staffed business centers with regular employees in the cities where closures are planned. According to UGT, the ghost supermarkets and centralized services appear to be the only facilities on the platform where the self‑employment model flagged by authorities was not used, resulting in staffing through direct contracts in some sites.

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