)
Online food delivery service Menulog will close down its Australian operations later this month following a decision by Dutch parent Just Eat Takeaway.com to cut ties with the loss-making business.
The decision, which will affect 120 employees, will see Menulog end almost two decades of operation in Australia where the company was originally founded as a self-delivery marketplace for restaurants.
The business, acquired in 2015 by Just Eat which later merged with Takeaway.com, will cease operations from midnight on 26 November 2025. The move comes 18 months after Menulog exited the New Zealand market in May last year.
"Today is a tough day for the Menulog business and I would like to reassure everyone this decision was not taken lightly,” says Morten Belling, managing director of Menulog.
“Our priority now is to support our customers, couriers and partners. This is why we are providing everyone a two-week transition period, in which customers can redeem unused vouchers and credits.
“We would like to sincerely thank everyone who has partnered and supported Menulog over the years."
Apart from full-time staff, the closure will also affect thousands of couriers who rely on the app for part-time work.
Menulog says eligible couriers will be entitled to a four-week voluntary payment.
Just Eat Takeaway.com notes that the “difficult decision” to exit its Australian operations was made after “careful consideration”.
“While Menulog has a proud 20-year history, it has been navigating challenging circumstances,” says the company.
“This strategic decision reflects our focus on accelerating growth and investments in other markets and to deliver the best experience for customers, partners and couriers.
“All impacted employees will be fully supported with generous redundancy packages above legal requirements and outplacement support.”
The Amsterdam-headquartered Just Eat Takeaway.com is among the world’s largest on-demand delivery companies with operations in Europe, Canada and the UK.
The company paid $855 million for Menulog in May 2015 but cut the value of the business by 40 per cent just three years later.
Menulog has been struggling in both Australia and New Zealand due to high costs, weaker consumer sentiment and competition from major rivals such as Uber Eats and DoorDash which has cut its market share in recent years.
Just Eat Takeaway.com’s decision will see the company consolidate its focus on its more profitable markets of Europe and the UK.
)
