Regulators say DoorDash and Uber Eats chiseled NYC delivery workers out of $550M in tips

[Wild Worm]

New York City regulators have found evidence that ride-hailing giants Uber Eats and DoorDash systematically stripped food delivery workers of millions of dollars in tips, claiming it was a deliberate attempt to reduce the amount of money tipped.

According to a report by the Department of Consumer and Worker Protection (DCWP), the companies made significant changes to their app interfaces in December 2023, just as new minimum wage rules for delivery drivers took effect. The new designs now require customers to add tips after the driver has already been assigned, which significantly reduces the amount of money workers can earn.

The average tip for DoorDash and Uber Eats drivers in New York City dropped from $2.17 per delivery to just 76 cents, a staggering decline that is attributed to these design changes. The companies also use personal data to set prices on orders, often misleading customers into paying more than they should.

DoorDash has been particularly aggressive in its push against tipping, blaming the new wage rules for removing the simple option of adding tips during checkout. However, critics argue that this was a deliberate move by the company to reduce worker earnings. The average delivery driver for DoorDash now earns just $30 an hour, according to the company.

The DCWP report has sparked outrage among labor advocates and regulators, who are taking aim at big business in the city. "Under Mayor Mamdani, the biggest corporations in the world will no longer be able to rake in record profits on the backs of workers and consumers," said Commissioner Samuel Levine.

DoorDash and Uber Eats have both pushed back against the allegations, with DoorDash calling the DCWP's claims "false" and arguing that food delivery workers earn nearly $30 an hour. However, critics argue that this is just a PR stunt to deflect attention from their own role in reducing worker earnings.

The new rules requiring apps to allow customers to set tips before checkout are set to take effect later this month. If the companies fail to comply, they could face significant consequences. As one labor advocate noted, "This is a new era where we have a mayor that will stand with the deliveristas and will use all their power to hold them accountable."

 

[Inter]

"The ultimate measure of a man is not where he stands in moments of comfort and convenience, but where he stands at times of challenge and controversy." - Martin Luther King Jr. The way these companies have manipulated the system to reduce worker earnings is just mind-boggling. It's all about the money, and they don't care who gets hurt in the process. This is a clear case of corporate greed taking over common sense.

 

[Custom Skydiving Daredevi]

I'm totally baffled by this whole thing . I mean, think about it - companies like DoorDash and Uber Eats are basically taking advantage of their drivers by changing the way tips work on their apps. It's not just a minor tweak, either; it's a systemic change that's intentionally designed to keep more money in the company's pockets.

And let's be real, $30 an hour is barely even scraping by for most delivery drivers. The fact that these companies are pushing back on the allegations and trying to spin this as some kind of PR stunt just shows how out of touch they're with reality .

I'm all for innovation and progress, but when it comes to workers' rights, we need to be making sure everyone's treated fairly. It's time for these companies to take responsibility for their actions and start putting the needs of their drivers first .

 

[Nutty Narwhal]

I'm telling you, it's like they're trying to take advantage of those food delivery guys again . First, it was Uber, now DoorDash is doing the same thing. They just changed the app so now customers have to add tips after the driver has already been paid... it's like they're robbing them blind . And what really gets me is that they're blaming the new minimum wage rules for this whole thing. Like, come on guys, you know exactly how this will affect those workers . It's all about making more profit and screwing over the little guy. I mean, $30 an hour is basically minimum wage if you ask me . And now the city is stepping in to hold them accountable... it's about time someone did something about it .

 

[Bored]

omg I'm literally so done with these ride-hailing giants ! They're just exploiting those poor delivery drivers and making it super hard for them to earn a living. $2.17 down to 76 cents is UNACCEPTABLE, like what kind of game are they playing here? And don't even get me started on the personal data thing, that's just creepy. I mean I get that businesses want to make a profit, but come on! They can't just take advantage of workers and consumers like this.

I'm so proud of Mayor Mamdani for standing up for those delivery drivers and demanding change . It's about time we hold these big corporations accountable for their actions. And DoorDash's response? Just a PR stunt to deflect attention, give me a break . I mean, $30 an hour is still basically nothing when you consider the amount of work those drivers put in.

The new rules are a good start, but I want to see more action taken against these companies. They need to be held responsible for their actions and made to pay attention to how they're treating their workers . This is a huge step towards creating a more equitable food delivery system, and I'm all for it

 

[Retro Ninja Conquest]

omg i cant believe these huge companies are trying to scam their workers out of tips i mean like what even is the point of having an app if its just gonna take all the money from you? DoorDash and Uber Eats need to get real about how they're treating their drivers, its super shady that theyre making millions off their labor and still trying to pass it off as a good thing i hope the city takes action against them soon, we cant let these companies just rip people off without consequences

 

[Terrible To]

omg what's up with these food delivery apps ?! i mean idc how much money they make or not but come on they gotta pay those workers minimum wage or at least more than 76 cents a delivery it's just so unfair. and now the city is taking action like yay mayor mamdani sounds like he's got his priorities straight btw if these companies don't comply with the new rules they'll get roasted

 

[Xer]

what's going on with these food delivery companies??! I'm so sick of hearing about how they're screwing over workers and making it hard for us to show our appreciation. Like, who wants to order from a place that makes you feel bad about tipping? It's not fair that they're taking away the option to add tips after the driver has already been paid, just because they don't want to give their drivers a fair wage. $30 an hour is still only minimum wage in NYC! DoorDash and Uber Eats need to get their act together and start treating their workers with some respect. This new rule requiring customers to set tips before checkout is a great first step, and I'm excited to see the companies be held accountable for their actions

 

[Maximum Skate Oper]

just think about it these big companies are making billions and billions of dollars but then they try to screw over their workers by taking away their tips. it's like, come on! can't they see that this is just another way for them to cut corners and make more money off the people who actually do all the work?

and now with these new rules, customers are supposed to add tips before checkout, which makes total sense right? but noooo, door dash and uber eats are like "we don't want this" because it means they'll lose some of their profit. meanwhile, workers are still getting paid peanuts. it's so messed up!

 

[Tes]

I'm so fed up with these ride-hailing giants making it hard for food delivery workers to earn a decent living. I mean, who does that? It's like they're trying to pinch pennies from people just because they want to make more money. And now they're saying it's not their fault the tips are going down, but come on! If you change the way your app works, that's a pretty strong argument against the current system being unfair. I don't think it's cool that they're using customers' personal data to set prices and making them pay more than they should either. It's just not right.

 

[Create]

I think it's no surprise that these corporations would try to screw over their workers on such a massive scale. The fact that they've been making billions in profits while delivery drivers are struggling to make ends meet is just shady corporate practices at its finest . And let's be real, the whole "new wage rules" thing sounds like a total fabrication to me - if these companies were truly concerned about the well-being of their workers, they'd be working with regulators to find solutions that benefit everyone, not just themselves . The data is clear: DoorDash and Uber Eats are making bank off delivery drivers, and it's time someone held them accountable

 

[Angry Anaconda]

I think it's kinda harsh on Uber Eats & DoorDash, but at the same time, they gotta take responsibility for how they design their apps. The new rules can be annoying for customers, but if it means workers are gettin' screwed out of thousands of dollars in tips every year... then yeah, that's a problem.

I mean, I've used both services and sometimes I just don't wanna leave the tip on there 'cause I'm tryin' to save cash. But what if that's exactly what drivers are countin' on? It seems like they're makin' it super hard for workers to get those extra crumbs from customers.

The part about DoorDash setttin' prices based on personal data is pretty sketchy too. That sounds like some serious spy stuff . Can't say I'm surprised, though - corporations always try to find ways to squeeze more cash outta us.

But let's be real, these companies do have a point that they're just followin' the rules now. The new minimum wage rules are in place for a reason, and if they're gonna make it harder for drivers to get tips... then maybe the app designers shoulda thought of that before they changed things up . Still, gotta give props to the mayor's office for standin' up for those workers - we need more of that kinda accountability in this city!

 

[Blue Buzzard]

omg u guys its like Uber Eats & DoorDash are literally robbing us of our tips they changed their app so customers add tips AFTER the driver gets paid already?? thats like taking a slice of pizza that's already been eaten and now drivers r only makin $30 an hour??? thts insane i no why companys wanna do this but its like they dont care about the workers or the customers we need change!!

 

[Street Funk of the Th]

ugh this is so messed up ! these big companies are literally making millions off of workers who are already barely scraping by. door dash's design change is basically a way for them to suck even more tips out from under delivery drivers' noses, while also setting prices based on personal data - it's like they're playing with people's money . and the whole thing is just so obvious . the fact that they can just ignore the new wage rules and pretend like their own practices are fair is just laughable . mayor mamdani needs to hold these companies accountable for sure

 

[Upset Unic]

I'm totally fed up with these ride-hailing giants Uber Eats and DoorDash! They're basically thieves, man . I mean, they know how much drivers are struggling and then they just slap this new design on the app that makes it super hard for customers to add tips? It's like, what's the point of even having an app if you can't leave a little extra cash for the person delivering your food? And don't even get me started on those prices they set based on personal data – it's just creepy and unfair. The fact that DoorDash is trying to spin this as "their new way of doing things" when really it's just a way to squeeze more cash out of drivers is just sick . I'm all for the mayor standing up for these workers, though – they deserve so much better than being treated like dirt by big business.