New Yorkers have paid 58% more in food-delivery fees since before a minimum-wage law went into effect in late 2023… more
Category Archives: Legal
NYC delivery worker earnings up 22%
Dive Brief: Dive Insight: Base pay is an increasingly large share of delivery worker pay, as tipping has fallen off sharply in NYC. The DCWP found that consumer tips did fall year-over-year in Q1 2024 by about 66%, from $9.9 million per week to just $3.4 million, while fees paid to the apps by consumers shot …
This Seattle Restaurant Has Dropped DoorDash and Hired Its Own Delivery Drivers
For months, restaurants and customers have been complaining about high fees instituted in Seattle by food delivery apps like DoorDash and GrubHub after a City Council ordinance raised driver pay. There’s now an intense debate among politicians, business owners, and workers about whether the law should be repealed or tweaked in order to bring those fees down, but one …
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DoorDash and Uber fed up with Seattle council standstill on food delivery driver pay
DoorDash and Uber are chomping at the bit for regulatory action in Seattle. The tech giants have been lobbying lawmakers for six months to address a controversial minimum pay law for food delivery drivers that went into effect in January. Seattle City Council President Sara Nelson in April introduced a bill that would lower the minimum wage …
DoorDash shifts pay scheme, cuts flexibility in New York City
Dive Brief: Dive Insight: DoorDash said its steeper fees in New York City led to a $3.5 million drop in sales for local DoorDash merchants and 200,000 fewer orders over the last few weeks. The company didn’t share a specific time frame for this decline, and didn’t respond to a request to confirm how many merchants …
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Seattle may walk back wage hike for delivery drivers
Drivers for apps like DoorDash and Uber Eats say their earnings have plummeted since the $26.40 hourly minimum went into effect. The city of Seattle is reconsidering the big wage hike it handed to app-based delivery drivers earlier this year after drivers said it has hurt their earnings rather than helped. City Council President Sara …
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Minimum-wage delivery drivers must be 100% reimbursed for using their own vehicles, 6th Cir. says
Dive Brief: Dive Insight: Given the pandemic-led explosion of delivery services over the past few years, the reimbursement issue is likely a concern for many businesses. Employers should also keep in mind that although the 6th Circuit ruling specifically applies to those in Michigan, Ohio, Kentucky and Tennessee, it puts employers elsewhere on notice about …
Vegas restaurants file class-action suit against Uber for allowing ‘imposter’ pages
Four Las Vegas restaurants have filed a class-action lawsuit against Uber alleging fraud, conversion of funds, civil RICO, racketeering and negligence in connection with the Uber Eats delivery service. The lawsuit, filed Wednesday in Clark County District Court, involves restaurant pages appearing on the Uber Eats platform that allegedly impersonated the plaintiffs and other restaurants, …
California bill would force delivery apps to disclose what restaurants pay
Delivery apps like DoorDash and Uber Eats would have to let customers know what restaurants are paying them under a bill filed in California last month. Under the terms of SB 1490, delivery providers would have to provide an itemized breakdown at checkout showing the fees, commissions and other costs charged to the restaurant for that …
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Everybody Is Blaming Somebody Else for Seattle’s Punishingly High Delivery App Fees
AfterAfter years of complaints over low pay for gig workers and occasional protests from app delivery drivers, the Seattle City Council took action in 2022. Members voted unanimously to pass legislation called PayUp, which among other things was supposed to guarantee a minimum hourly wage to delivery workers, including those who work for apps like DoorDash and UberEats. On …