- DoorDash will pay $131.5 million to settle a New York City Department of Consumer and Worker Protection investigation into wage violations under the city's minimum-pay standard for app-based delivery workers.
- The company said the errors hit roughly 264,000 workers, with about $6.6 million in wages never reaching workers at all and another $5.7 million arriving days or weeks late.
- DoorDash blamed complex 2023 changes to New York state's minimum wage rules, technical glitches and multi-stop delivery routes, and said it has patched the bugs; it claims local workers average roughly $30 per active hour.
- A significant share of the payout addresses how DoorDash calculates compensation for driver time spent waiting for orders, and the deal extends an ongoing fight between gig platforms and municipal officials over tipping, minimum wages and data-sharing.
Quotes
“Simply put, we screwed up”
“Our mistakes meant some Dashers were underpaid or paid late.”
“While these mistakes weren't intentional, that doesn't make them okay.”