News Tag: Policy

Grubhub CEO letter to President Trump in support of independent restaurants

The Honorable Donald J. Trump
President
The White House
1600 Pennsylvania Ave, NW
Washington, DC 20500

The Honorable Nancy Pelosi
Speaker of the House of Representatives
United States Capitol
Washington, DC 20515

The Honorable Mitch McConnell
Majority Leader
United States Senate
Washington, DC 20510

Dear Mr. President, Speaker Pelosi, and Majority Leader McConnell:

Grubhub is the leading online and mobile food-ordering and delivery marketplace with the largest network of restaurant partners in the United States, as well as more than 22 million active diners. With over 100,000 SMB restaurant partnerships across the country, we are proud of our ability to help drive local revenue by connecting diners with the food they love from their favorite local restaurants.

During this unprecedented time in our country, restaurants are on the front lines of the struggle to continue to feed Americans. Since the crisis began, Grubhub has been working with state and local officials around the country to support our local independent restaurant community and lend support for efforts to keep the doors open to our restaurants for delivery and take-out.  And while we applaud our government leaders and their efforts to minimize the COVID-19 impact and keep the American people safe, we know that without these release valves of delivery and pickup, many of our nation’s independent restaurants will not survive.

To provide our independent restaurants some relief, Grubhub has launched an aid package which includes deferred payments for our independent restaurants providing much needed cash flow relief until this crisis is over. We have also established the Grubhub Community Relief Fund which will pay cash grants to organizations supporting independent restaurants and food delivery drivers.

However, we know that the needs of the restaurant industry during this unprecedented time are beyond our control. The National Restaurant Association anticipates sales to decline by $225 billion during the next three months alone, which could prompt the loss of between five and seven million jobs. I am calling on you to support the $325 billion aid package proposed by the NRA which would establish a much needed industry recovery fund, provide for business interruption insurance, as well as much needed loan and tax relief. Specifically, the proposal would authorize the following:

  • The Department of Treasury to create a $145 billion Restaurant and Foodservice Industry Recovery Fund.
  • $35 billion for Community Development Block Grants for Disaster Relief (CDBGDR) assistance.
  • $100 billion in Federally-Backed Business Interruption Insurance
  • $45 billion in expanded access to effective, efficient and affordable federal and conventional loans.
  • $130 million in Disaster Unemployment Assistance (DUA)

If enacted, these measures would ensure that restaurants have the necessary liquidity and access to critical financing to help them survive the dramatic loss in profits caused by COVID-19.

Restaurants are the heart and soul of our communities and we must do everything we can to get them through this time of incredible uncertainty.

Thank you for your leadership.

Sincerely,

Matt Maloney

Founder and CEO

 

cc:  Honorable Steven Mnuchin, Secretary of the Treasury
Honorable Chuck Schumer, Senate Democratic Leader
Honorable Kevin McCarthy, House Republican Leader
Honorable Mark Warner, U.S. Senate

Grubhub and Major Cities Across the U.S. Launch Economic Relief Effort up to $100 Million for Independent Restaurants and Delivery Partners Impacted by COVID-19

Mayors of Chicago, New York City, San Francisco, Boston and Portland Team with Grubhub to Suspend Fees from Independent Restaurants
Grubhub Sets up Charitable Fund for Impacted Drivers and Restaurants

CHICAGO, March 13, 2020 /PRNewswire/ — In collaboration with the mayors of large cities across the United States who are on the front lines of the COVID-19 response efforts, Grubhub today announced it is temporarily suspending collection of up to $100 million in commission payments from impacted independent restaurants nationwide.

Grubhub’s initiative will provide immediate and substantial cash flowrelief to qualified independent restaurants — restaurants that make up the majority of Grubhub’s 350,000+ restaurant community and drive more than 80 percent of the company’s orders.

Matt Maloney, Grubhub Founder and CEO said: “Independent restaurants are the lifeblood of our cities and feed our communities. They have been amazing long-term partners for us, and we wanted to help them in their time of need. Our business is their business — so this was an easy decision for us to make.”

Grubhub has also created a fund that will enable proceeds from its Donate the Change program to go toward charitable organizations that support restaurants and drivers impacted by the COVID-19 health crisis. The program will allow diners to round up the change from every order and donate it to the Grubhub Community Relief Fund — with donations from Grubhub+ (and Seamless+) members matched by the company. Grubhub has been raising more than $1 million dollars per month through Donate the Change.

Grubhub will work with local city officials to identify the organizations that can utilize the funds and to consider other support programs during the pandemic.

“The City of Chicago is deeply concerned about the risk COVID-19 is placing on the health of our residents and communities, as well as the impact it’s having on our working families and neighborhood economies and restaurants,” said Chicago Mayor Lori E. Lightfoot. “That is why we applaud corporate leaders like Grubhub who are stepping up with practical measures to support small businesses and their employees. Now more than ever, we must work together to ensure hardworking Chicagoans receive the support they need to thrive while also staying safe, secure, and healthy.”

In Chicago, where Grubhub was founded in 2004 and is headquartered today, there are more than 10,000 restaurants on the platform, and thousands of drivers bringing delicious food from these restaurants to hungry diners. This relief fund will provide support for food industry workers, which are anticipated to become among some of the most impacted by the economic losses due to coronavirus and social distancing practices. This includes residents at small, neighborhood-based businesses like Chicago’s Home of Chicken & Waffles, based in Bronzeville.

As dine-in traffic is expected to slow up to 75 percent over the next few weeks, restaurants will rely on pickup and delivery orders to stay in business. “We have seen revenue decrease in the past week as a direct result of our customers staying home,” said Darnell Johnson, owner of Chicago’s Home of Chicken & Waffles. “Grubhub has helped us generate more delivery and takeout orders as our customers’ dining habits have changed. This has helped us continue serving our loyal customers and our employees can continue living a sustainable lifestyle.”

“Banding together during hard times, putting people over profit, and supporting our local businesses is a model we should all follow, and I thank Grubhub for leading the way,” said New York City Mayor Bill de Blasio.

“Restaurants are a pillar of the San Francisco small business economy and so important to the culture of this city,” said Joaquin Torres, Director of San Francisco’s Office of Economic and Workforce Development. “We are committed to doing everything in our power to support them in this time of crisis, but if we want to come through this public health emergency intact, we’ll need more private sector partners to follow Grubhub’s lead, do the right thing and invest locally to mitigate this crisis.”

These initiatives follow a series of measures taken by Grubhub to keep restaurants, diners, and drivers safe during the outbreak – including contact-free delivery and health and safety guidance to drivers, restaurants and diners. Additionally, Grubhub offers pickup from the largest restaurant network in the country, which helps individuals who might feel safer acquiring food on their own.

About Grubhub
Grubhub (NYSE: GRUB) is a leading online and mobile food-ordering and delivery marketplace with the largest and most comprehensive network of restaurant partners, as well as more than 22 million active diners. Dedicated to connecting diners with the food they love from their favorite local restaurants, Grubhub elevates food ordering through innovative restaurant technology, easy-to-use platforms and an improved delivery experience. Grubhub features over 350,000 restaurants and is proud to partner with more than 165,000 of these restaurants in over 3,200 U.S. cities and London. The Grubhub portfolio of brands includes Grubhub, Seamless, LevelUp, AllMenus and MenuPages.

Inclusion and Tolerance in the Workplace

This year’s presidential election was undoubtedly divisive and left many of our employees feeling concerned. In response, I wrote a company-wide email that was intended to advocate for inclusion and tolerance — regardless of political affiliation — during this time of transition for our country.

Some of the statements in my email (please see full text below) have been misconstrued. I want to clarify that I did not ask for anyone to resign if they voted for Trump. I would never make such a demand. To the contrary, the message of the email is that we do not tolerate discriminatory activity or hateful commentary in the workplace, and that we will stand up for our employees.

Grubhub welcomes and accepts employees with all political beliefs, no matter who they voted for in this or any election. We do not discriminate on the basis of someone’s principles, or political or other beliefs.

I deeply respect the right of all citizens to vote for the candidate of their choice. In fact, I offered extra flexibility on Tuesday and encouraged all our employees to go vote. There is a place for all points of view at Grubhub. We value diverse perspectives and believe those perspectives help to create a better product and a better workplace culture.

Grubhub’s leadership team has worked for years to create a culture of support and inclusiveness. I firmly believe that we must bring together different perspectives to continue innovating. We are better, faster and stronger together, and so is America.

Posted by Matt Maloney, Grubhub CEO ********************************************* Full Email Text: SUBJECT: So… that happened… what’s next? I’m still trying to reconcile my own worldview with the overwhelming message that was delivered last night. Clearly there are a lot of people angry and scared as the antithesis of every modern presidential candidate won and will be our next president.  While demeaning, insulting and ridiculing minorities, immigrants and the physically/mentally disabled worked for Mr. Trump, I want to be clear that this behavior – and these views, have no place at Grubhub. Had he worked here, many of his comments would have resulted in his immediate termination.  We have worked for years cultivating a culture of support and inclusiveness. I firmly believe that we must bring together different perspectives to continue innovating – including all genders, races, ethnicities and sexual, cultural or ideological preferences. We are better, faster and stronger together.  Further I absolutely reject the nationalist, anti-immigrant and hateful politics of Donald Trump and will work to shield our community from this movement as best as I can. As we all try to understand what this vote means to us, I want to affirm to anyone on our team that is scared or feels personally exposed, that I and everyone else here at Grubhub will fight for your dignity and your right to make a better life for yourself and your family here in the United States.  If you do not agree with this statement then please reply to this email with your resignation because you have no place here. We do not tolerate hateful attitudes on our team.I want to repeat what Hillary said this morning, that the new administration deserves our open minds and a chance to lead, but never stop believing that the fight for what’s right is worth it.  Stay strong, Matt