Coupang to make Rocket Delivery available to third parties

Coupang will soon be delivering products of independent sellers by its super-fast Rocket delivery service.

Coupang trucks are parked in a parking lot in Seoul. [NEWS1]

Coupang will soon be delivering products of independent sellers by its super-fast Rocket delivery service.

The company held a meeting with Coupang Friends — delivery workers it directly hires — on Tuesday and announced they will soon be employed under Coupang Logistics Services. There are around 10,000 Coupang Friends.

The delivery workers will be under the same employment conditions and wages even when they are hired by Coupang Logistics Service.

Regarding the change, the company said it is in the process of changing its delivery system so more small and mid-sized businesses selling on Coupang can also use its rocket delivery service, which offers same day and next day deliveries.

Coupang Logistics Service is a wholly-owned subsidiary of Coupang. It acquired a delivery license from the Ministry of Land, Infrastructure and Transport in January. The license allows a company to deliver parcels of third-parties.

Coupang doesn't have the license and can only offer rocket deliveries for products it owns, with other products shipped out by logistics companies that individual sellers choose.

The Coupang branch of the Korean Public Service and Transport Workers Union issued a statement on Wednesday condemning the decision.

“Sending Coupang Friends to Coupang Logistics Service was not discussed with the labor union beforehand,” read the statement. “It is evident that our working conditions will become harsher, and we will come up with plans to respond to the situation.”

The union claims that Coupang Logistics Service has a system that pays delivery workers per order — known as the quick flex — and will pressure them to work under the system rather than continuing to be directly hired.

BY LEE TAE-HEE [lee.taehee2@joongang.co.kr]