"time is tight, so we have to run a red light" and "food delivery is not timely, customers."Complaints"and bad comments", "overtime will be fined by the merchant, and customers will be deducted if they are not satisfied" …... In order to grab the time to deliver food, most Internet platform takeouts risk their lives to run red lights and drive in the opposite direction. At the same time, because there is no labor relationship between the delivery platform and the rider, the rider's rights and interests can not be protected.

In order to effectively promote platform economic enterprises to fully implement laws, regulations and policies on production safety and labor rights protection, and to safeguard the safety and labor rights and interests of workers such as takeout riders, recently, the Ministry of Emergency Management, the Ministry of Public Security and the relevant departments and bureaus of the Ministry of Human Resources and Social Security jointly held a promotion and implementation meeting on production safety and labor rights protection for key platform economic enterprises.

The platform shall not formulate assessment indicators for harming the safety and health of workers such as takeout riders.

In recent years, the rapid development of the platform economy has created a large number of job opportunities. At the same time, the labor security rights and interests of workers are also facing new situations and new problems.

To this end, on July 22 this year, the Ministry of Human Resources and Social Affairs and other eight departments formally issued the guidance on safeguarding the labor security rights and interests of workers in new forms of employment, including online contract distributors, ride-hailing drivers, truck drivers, Internet marketers, and so on.

On July 26, the State Administration of Market Supervision and other seven departments jointly issued the "guidance on implementing the responsibility of the online Food and Beverage platform to effectively safeguard the Rights and interests of takeout delivery diners," which put forward all-round requirements for the protection of the legitimate rights and interests of takeout delivery diners.

In order to promote platform economic enterprises to fully implement laws, regulations and policies on the protection of production safety and labor rights and interests, and to safeguard the safety and labor rights and interests of workers such as takeout riders. Recently, the Ministry of Emergency Management, the Ministry of Public Security and the relevant departments and bureaus of the Ministry of Human Resources and Social Security jointly held a conference on the safety of production and the protection of labor rights and interests of economic enterprises on key platforms.

The meeting demanded that economic enterprises on all platforms firmly establish the consciousness of "red line" and bottom line thinking in production safety, strictly implement the provisions of the Law on production Safety, the Law on Road Traffic Safety and the guiding opinions on safeguarding the labor security rights and interests of workers in new forms of employment, strengthen the main responsibility of enterprises for production safety and the responsibility system for production safety of all staff, and establish and improve production safety institutions and safety investment protection mechanisms. Strengthen production safety warning education and compliance inspection of distribution and transport means, and guide safe and civilized distribution.

At the same time, economic enterprises on all platforms should attach importance to the physical and mental health of workers, optimize platform algorithms, refrain from formulating assessment indicators that harm the safety and health of workers, effectively prevent and defuse the safety risks of new forms of employment, safeguard the life safety and labor rights and interests of workers such as take-out riders, and constantly enhance people's happiness and sense of security.

It is understood that the platform economic enterprises participating in this meeting include Meituan and Meituan Distribution, Alibaba Group Holding Ltd Group and Box Ma Xiansheng, ele.me, Dada Nexus Limited and so on.

Take multiple measures to protect the legitimate rights and interests of workers in platform economy enterprises

In recent years, the vigorous development of the platform economy has absorbed a large number of jobs, but the protection of workers' rights and interests is also more prominent.

According to the China sharing economy Development report (2021), the number of participants in China's shared economy in 2021 is about 830 million, of which about 84 million are service providers, an increase of about 7.7 percent over the same period last year, but the number of employees of platform enterprises is only 6.31 million.

According to the financial report released by Meituan, the total number of riders earning income through Meituan platform was 4.7 million by the end of 2020, compared with 2.952 million by the end of the first half of the year, representing a rapid growth.

However, with the rapid development of new employment forms, there are also some problems to be solved in the platform economy. The China sharing economy Development report (2021) mentions that it is necessary to strengthen the protection of workers' rights and interests, promote the establishment of employment and social security systems adapted to new forms of employment, and speed up the reform of the salary system for new forms of employment. establish and improve the labor standard system for employment on Internet platforms.

In order to protect the legitimate rights and interests of delivery diners, on the afternoon of July 26, the General Administration of Market Supervision, the State Internet Information Office, the National Development and Reform Commission, the Ministry of Public Security, the Ministry of Human Resources and Social Security, the Ministry of Commerce, and the all-China Federation of Trade unions jointly issued the guidance on implementing the responsibility of the online catering platform to effectively safeguard the rights and interests of delivery diners.

The "opinion" puts forward requirements for the seven aspects of labor income, labor safety, food safety, social security, working environment, organizational construction, and contradiction disposal of takeout diners. Specifically, it includes: ensuring that the normal labor income of the takeout delivery staff is not lower than the local minimum wage standard; not taking the "strictest algorithm" as the assessment requirement, through the "algorithm to take the middle" and other means, reasonably determine the number of orders, just-in-time rate, on-line rate and other assessment elements, and appropriately relax the time limit for distribution. The platform and third-party cooperation units participate in social insurance for delivery workers who establish labor relations, support other delivery workers to participate in social insurance, and participate in the pilot project of occupational injury protection for flexible employees on the platform in accordance with national regulations.

Subsequently, Meituan and other platforms also responded. Meituan said, "next, we will resolutely implement and implement the guidance and continue to actively improve it." in labor security, distribution safety, rider welfare, rider experience enhancement and other aspects to effectively safeguard the rights and interests of workers, improve the level of labor security, improve the quality of employment in the industry. "

Meituan's stock price halved in half in half, Sequoia Capital and Shen Nanpeng reduced their holdings many times.

The market is worried about the policy. Meituan's share price has halved in half since hitting a peak of HK $460 at the beginning of the year. For Meituan, the impact on the long-term profitability of his business under the background of the protection of riders' rights and interests is the concern of the market.

据CITICAccording to the calculation, based on the 4.7 million riders disclosed in the financial report in 2020, the core variable to be considered is how many riders will be confirmed by the platform to have a labor contract relationship, that is, this part of the riders belong to the platform obligation to pay social security. According to the average income of takeout riders is about 6000 yuan, according to the median of the minimum social security base of 20 different cities randomly selected is about 3000 yuan, the proportion of current social security policy enterprises is 32%, and the sensitivity is calculated according to the different proportion of confirmed labor relations riders. Assuming that the proportion of confirmed labor relations riders is 20%, 30%, the estimated increase in social security costs ranges from 2.3 billion yuan to 3.46 billion yuan per year.

CITIC believes that although facing the adjustment of riders' labor intensity in the short term, at the same time, supervision intends to reduce the human efficiency problems caused by riders' subordination and dependence on a single platform. But in the long run, the delivery business to achieve the company's long-term expectation of 100 million orders per day, 1 yuan per order has not changed in the current environment. The core takeout + arrival business is estimated to be about 1.5 trillion-1.6 trillion in 2023. Even considering the downward valuation system, the current market capitalization corresponds to the company's core takeout + arrival profit potential of about 20 times, with support. In addition, the company also has potential room for new businesses such as community group buying.

"urge the platform and third-party cooperation units to participate in social insurance for delivery workers who establish labor relations." this will undoubtedly test Meituan's platform costs, weaken his profitability, and have a great impact on the company, which is also one of the main reasons for the market's concern.

It is worth mentioning that Shen Nanpeng, a founding managing partner of Sequoia Capital and a non-executive director of Meituan, has reduced his holdings many times since 2019, of which 2019 and 2020 can be described as significant reductions. In 2021, Shen Nanpeng again reduced his holdings of Meituan shares.

On April 27, Shen Nanpeng sold 475700 Meituan shares at an average price of HK $300.39 per share, cashing out HK $143 million, according to Wind. Meituan's share price is expected to stabilize on May 31, with Shen Nanpeng slightly increasing its holdings of 8700 shares.

However, due to heightened market concerns, Meituan's share price rebounded briefly and fell sharply again, while Shen Nanpeng also reduced its holdings again. Shen Nanpeng sold 211500 shares and cashed out HK $43.3845 million on July 30, according to Wind.

At the same time, some shareholders are increasing their holdings. On April 14 this year, the well-known fund Baillie Gifford bought Meituan with an average price of HK $96.17, increasing its holdings by 5.6484 million shares at a cost of HK $543 million.

After Meituan's share price plummeted on July 28th, Baillie Gifford stepped in again, increasing its stake in 9.464 million shares at a cost of HK $1.912 billion.

It is understood that Baillie Gifford is a century-old English investment management company with assets under management of more than 200 billion US dollars. It is Tesla's largest external shareholder and Tesla's highest investment return institutional investor in the market.

CITIC believes that anti-monopoly review, social security norms, the protection of riders' rights and interests and other regulations will not have a substantial impact on the long-term direction of Meituan's business ecology, but put forward higher requirements for ecological balance, and profitability will tend to be reasonable. From the long-term perspective, social security and other factors are expected to be continuously digested with the improvement of the endogenous profit level of the platform, and the allocation value after the stock price pullback becomes more and more significant.