TAIPEI (Taiwan News) — The labor ministry opposes a proposed merger of Uber Eats and Foodpanda due to the need for further discussions with labor unions.

Speaking at the legislature on Wednesday (Oct. 16), Labor Minister Ho Pei-shan (何佩珊) said she had sent a letter to the Fair Trade Commission formally expressing its opposition to the merger, per CNA. Ho was responding to questions from Kuomintang Legislators Wang Hung-wei (王鴻薇) and Lo Ting-wei (羅廷瑋) about her views on the plan, which Uber announced in May.

Lo asked the labor minister if a law regulating working conditions for delivery workers would be created. Ho responded that inter-ministry discussions on the subject are ongoing. Ho added that she had asked the Fair Trade Commission to notify the labor ministry before it discussed the merger.

The labor ministry's director of labor relations Wang Hou-wei (王厚偉) said food delivery unions had made several major demands for the proposed merger. Wang said these included ensuring transparent remuneration calculations and conditions for termination of employment, and ensuring the right to work for delivery drivers.

In its May announcement, Uber said it had reached an agreement to acquire Foodpanda for NT$30.09 billion (US$950 million) in cash. In late September the Fair Trade Commission said it had not yet accepted a merger application from the companies and was waiting for further data.