New Yorkers now tip DoorDash just 76 cents per order - $3 less than a few years ago
UberEats and DoorDash blamed for $550m in lost tips for delivery drivers
- Tips for food delivery couriers in New York City have plummeted by over $550 million since 2023, with DoorDash and Uber Eats workers now receiving an average of just 76 cents per order.
- This significant drop in tips occurred after restaurant apps altered their customer tipping processes, making it harder for users to leave gratuities.
- However, couriers' total pay rose by $1.2 billion following the city′s Department of Consumer and Worker Protection (DCWP) enforcement of a minimum pay rate in December 2023, increasing the hourly wage to $21.44.
- The DCWP accused apps like DoorDash and Uber Eats of intentionally moving tipping options to after checkout, leading to new amendments requiring apps to offer tipping during checkout beginning January 26.
- These new regulations are projected to boost delivery worker earnings by $390 million annually, although DoorDash and Uber have launched legal challenges against the city over the requirements.