New York City, NY: Delivery people who use apps will now make at least $19.56 an hour before tips, which is a lot more than New York City’s minimum wage.
The city set the first minimum wage in the country at $17.96 an hour in June for more than 60,000 delivery workers.
Monday, Mayor Eric Adams said that the first planned raise to the wage floor will happen in April 2025. It will be one dollar plus a 3.15 percent change for inflation.
Adams said that workers used to make an average of $5.39 an hour before tips.
Leaders of labor groups like Adams said that the pay floor has already had a big effect, but that more needs to be done to protect workers from Uber Eats, DoorDash, and Grubhub.
“We are still struggling because companies are trying to cut hours, delete accounts, change schedules, and put profits ahead of workers’ needs,” Kazi Fouzia, director of organizing at Desis Rising Up and Moving, said.
The city wants app-based food delivery services to give the NYC Department of Consumer and Worker Protection information about their workers and supplies.
Vic Vilda, Commissioner According to Vera Mayuga, talks with companies are still going on.
“It works out.” The workers are getting paid more according to fair standards, restaurants aren’t losing orders, and customers aren’t spending more, the commissioner said.
Tipping and delivery workers being turned off from the apps are still being watched. Some restaurant owners say they’ve gotten fewer orders since the prices of items on the apps went up.
It is owned by Shuai Zhang and is located on Union Turnpike in Queens. He said the apps let him connect with customers and send to more places. Nevertheless, he said that business is poor.
Companies can set fees and costs for both businesses and clients in the apps.