DoorDash Agrees to Record $131.5 Million Settlement Over Underpaid NYC Delivery Workers
More than 264,000 delivery workers will receive payments, and $16.7 million will go to city fines and costs, DoorDash said.
- On Tuesday, Sept. 22, DoorDash agreed to pay $131.5 million to settle a New York City investigation into underpaid delivery Workers, stating, "Simply put, we screwed up."
- New York City introduced a delivery pay rule in 2023, which DoorDash failed to comply with due to errors caused by "technical bugs" or "complicated situations," such as partially fulfilled orders.
- Approximately 264,000 Dashers will receive payments under the settlement, with a median payout of around $48, while $83 million resolves pay calculation disagreements and $16.7 million covers DCWP fines.
- Simpluris, a third-party settlement administrator, will email Eligible Workers with payment details, while DoorDash guarantees a minimum of $10 to each impacted individual in the coming weeks.
- DoorDash stated it fixed technical issues, including better banking information validation, and strengthened its compliance program to ensure all future payments to Workers are accurate and timely.
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DoorDash Says It ‘Screwed Up’ When Paying N.Y.C. Delivery Workers and Agrees to $131.5 Million Settlement
“Our mistakes meant some Dashers were underpaid or paid late,” the company said. “While these mistakes weren’t intentional, that doesn’t make them okay”A delivery worker carries a DoorDash bag in New York on Monday, April 29, 2024.Credit: Yuki Iwamura/Bloomberg via GettyNEED TO KNOWDoorDash agreed to a $131.5 million settlement after underpaying or delaying payments to delivery workers in New York CityApproximately 209,000 Dashers were impacted,…
DoorDash Agrees to Record $131.5 Million Settlement Over Underpaid NYC Delivery Workers
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Mamdani Announces Record $131.5 Million DoorDash Settlement For NYC Delivery Workers
DoorDash will pay $131.5 million to resolve claims that it underpaid New York City delivery workers or failed to pay them on time, in a settlement announced Tuesday by Mayor Zohran Mamdani. Details on the million-dollar settlement and what DoorDash said Mamdani, Deputy Mayor for Economic Justice Julie Su and Department of Consumer and Worker Protection (DCWP) Commissioner Samuel A.A. Levine announced the settlement at City Hall, calling it the l…
DoorDash agrees to fork over $130,000,000 after admitting it ‘screwed up’ by not paying workers
DoorDash agreed Tuesday to pay New York City $131.5 million after an investigation found the delivery giant underpaid, failed to pay or paid more than 260,000 workers […]
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