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 …

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 …

DoorDash disappoints Wall Street with downbeat quarterly core profit

Shares of DoorDash sank more than 14% in extended trading on Wednesday after it projected second-quarter core profit below estimates, signaling that higher costs were offseting some gains from rising groceries and food orders. The San Francisco-based online food delivery firm has been forced to increase minimum pay for its delivery workers after New York …

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 …

Domino’s is now tipping customers who tip their delivery drivers

Domino’s Pizza is tipping its customers yet again, with a new “You Tip, We Tip” promotion, beginning April 29, which offers customers a $3 coupon for their next order when they tip their delivery drivers $3 or more. The “catch” is that the $3 coupon is only good for the next week’s delivery order, essentially …

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 …

City Hall bumps pay for NYC delivery workers from $18 to nearly $20 an hour

NYC food delivery workers are getting a new, near 9% pay bump starting Monday, Mayor Adams announced. Workers for apps like Uber Eats, Grubhub and Doordash will now make $19.56 per hour spent making deliveries, or an increase of around $1.50 every hour. “Our delivery workers have consistently delivered for us, and today we are delivering for them,” …

How did the cost of food delivery get so high?

Whizy Kim is a reporter covering how the world’s wealthiest people wield influence, including the policies and cultural norms they help forge. Before joining Vox, she was a senior writer at Refinery29. No one is happy about the delivery apps. Not the customers, who feel gouged by an avalanche of fees. Not restaurants, who feel gut-punched by the …

The Impact of “PayUp”: Unpacking Seattle’s Damaging New Delivery Law

Seattle’s experimental new minimum pay ordinance for delivery couriers, first passed by the Seattle City Council in 2022 and implemented in January 2024, was intended to help Seattle-based couriers earn substantially more than the city’s minimum wage of $19.97. The legislation – primarily advocated for by individuals who no longer serve on the Council – …

I quit delivering for apps like DoorDash to build my own 200-driver business. It’s rewarding but tough.

This as-told-to essay is based on a conversation with Moumita Urias-Roy, a former delivery worker in Austin. In 2019, Urias-Roy and her husband started URATX, a delivery service based in Austin that uses independent contractors for large food deliveries, such as catering orders. Business Insider has verified Urias-Roy’s identity. The story has been edited for length …