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☆ Seattle's gig worker wage law is just four months old. Now a proposed overhaul could result in pay cuts.
▼ + stars: | 2024-05-09 | by ( Alex Bitter | ) www.businessinsider.com time to read: +6 min

Read previewSince January, gig delivery workers in Seattle have been reaping the benefits of a local law mandating a certain pay level. Under the proposal, gig workers would be paid an hourly rate of $19.97 for their time spent retrieving and delivering orders. Instead, gig workers would get paid 35 cents per mile — down from the current 74 cents. In emails and calls to action sent to gig workers, DoorDash, Instacart, Uber, and others have claimed that there are fewer orders for gig workers to claim. Seattle City Council President Nelson did not respond to a request for an interview from Business Insider.

Persons: —, Sara Nelson, They're, PayUp, Justin Taylor, Taylor, he'll, Nelson, Dashers, Instacart, Uber, it's Organizations: Service, Business, Seattle City, Washington, PayUp, Seattle's, Uber, Seattle City Council Locations: Seattle, Seattle's

☆ Instacart, DoorDash, and other apps appear to be trying to roll back Seattle's new laws for gig workers
▼ + stars: | 2024-04-13 | by ( Alex Bitter | ) www.businessinsider.com time to read: +8 min

Instacart, DoorDash, and other apps seem to be trying to roll back Seattle's new gig worker pay law. They say Seattle gig workers are making less and delivering fewer orders after many raised prices. But in the preamble to the survey, Instacart indicated it already had thoughts about how things were going. One poster, who included screenshots of the message, encouraged other Instacart shoppers to turn the pre-written letter to the city council around. Uber Eats and Grubhub have also put out statements saying that things have gotten worse for their gig workers since Seattle's law took effect.

Persons: —, Instacart, they've, That's, PayUp, DoorDash, Dashers, Anna Powell, GeekWire, Powell Organizations: Service, Seattle City Council, Business, Instacart, BI, Walmart Locations: Seattle, Seattle's, DoorDash

☆ How a single mom with four kids who drives for DoorDash and Walmart Spark struggles to make ends meet: 'It is a never-ending vicious cycle'
▼ + stars: | 2024-03-12 | by ( Noah Sheidlower | ) www.businessinsider.com time to read: +8 min

Bri, a single mom of four, is struggling to make ends meet driving for DoorDash and Walmart Spark. Bri turned to gig driving after a knee injury made her previous job at an Amazon warehouse untenable. Gig driving with a disabilityBri was a business owner in home healthcare, but once the pandemic struck, she lost access to many of her clients. She was unsure how long Amazon's disability payments would last, and gig driving was one of her only options. She's driving her daughter's car after she wrecked hers a few months ago.

Persons: Bri, —, aren't, Lyft, Uber, DoorDash, She's, GrubHub, she's, hasn't, there's, I've Organizations: DoorDash, Walmart, Service, Business, Doordash, Amazon, Down, UPS Locations: Fort Worth , Texas, New York City, Galveston, Texas, bam, DoorDash

☆ Bots are some DoorDash and Walmart Spark delivery gig workers' dirty secret
▼ + stars: | 2024-02-10 | by ( Alex Bitter | ) www.businessinsider.com time to read: +6 min

Frustrated by falling pay and intensifying competition on delivery apps, some gig workers are turning to "bots" — apps and other programs that claim to help them optimize their earnings. AdvertisementBots can "negatively impact other drivers"Using a bot violates the delivery apps' terms for workers, the companies told Business Insider. One called "Spark Ninjas" supposedly captures orders automatically on Walmart's Spark delivery platform. Bots appear to be just one way that some gig workers are improving their earnings. Do you work for a gig delivery app like Instacart, DoorDash, or Walmart Spark and have a story idea to share?

Persons: —, I'm, DoorDash, Para, illicitly, Sharell, Barshishat, there's, Spark Organizations: Service, DoorDash, Business, Indiana, Uber, New York Times, Walmart, Nike, Facebook, BI Locations: Indiana, DoorDash, Para, Texas

☆ Tipping once rewarded good service. Now it determines how consumers are treated
▼ + stars: | 2023-11-17 | by ( Jessica Dickler | ) www.cnbc.com time to read: +1 min

For most people, tipping is about service. Roughly three-quarters of adults said the quality of the service they receive is a major factor in deciding whether and how much to tip, according to a recent report by the Pew Research Center. However, now consumers are prompted to tip in advance — and if they aren't generous, the service they receive could suffer. Doordash cautioned customers that opting to add a custom tip instead of using one of the suggested default amounts may influence how quickly an order is delivered. "Dashers have full freedom to accept or reject offers based on what they view as valuable and rewarding," the company said.

Persons: Michael Lynn, Doordash Organizations: Pew Research, Finance, Cornell University School of Hotel Administration Locations: U.S

☆ To Become a World-Class Chipmaker, America Might Need Help - The New York Times
▼ + stars: | 2023-11-17 | by ( Peter Coy | ) www.nytimes.com time to read: +2 min

I’m going to decline a $2.25 order in almost every instance. L.A. SchwartzUnion, Ky.You quoted the great economist Frank Knight. Here is a story about Frank Knight and George Stigler you might find interesting. In 1962 I was a research assistant to George Stigler at the University of Chicago. I now have a copy of ‘The Wealth of Nations’ that I can prove was read by Frank Knight.”

Persons: Adam Ozimek, ”, I’m, L.A, Frank Knight, George Stigler, Adam Smith’s “, ” Knight, Stigler, Knight, George, “ Organizations: Economic Innovation, Schwartz Union, University of Chicago, Nations Locations: United States, Ky

☆ Opinion | Welcome to the New Economics of Tipping
▼ + stars: | 2023-11-15 | by ( Peter Coy | ) www.nytimes.com time to read: +2 min

(If a no-tip order sits too long, DoorDash will raise the base pay until a driver — known as a Dasher — finally picks it up.) I’m glad to see workers earning more in jobs that tend to be low-paid, grueling and in some cases dangerous. “Our three-sided marketplace only works if it’s working for Dashers, consumers and merchants alike,” the company said, correctly. I’m not as happy that some portion of the bigger tips will most likely indirectly increase corporate profits. (The driver rates the passenger before seeing the tip, although I’m guessing a lot of customers don’t realize that.)

Persons: —, I’m, Uber, Robert Frank Organizations: Cornell

☆ Some DoorDash drivers are slamming a new feature that pressures customers to tip
▼ + stars: | 2023-11-13 | by ( Nancy Luna | ) www.businessinsider.com time to read: +6 min

Last week, DoorDash warned customers that no-tip orders might result in slower food deliveries. Some Dashers, or drivers, said the new prompt was another example of DoorDash asking customers to subsidize driver pay. AdvertisementAdvertisementDoorDash is warning customers who don't tip with a prompt that tells them orders might be slower. Many people said DoorDash, not customers, should pay drivers better wages. In June, DoorDash started sending tip "nudges" to customers, reminding them that they could increase tips for 30 days after a delivery.

Persons: DoorDash, Sergio Avedian, Guy, —, Zach Snider, Snider, Dashers, he's, Meredith Sandland, Sandland, Carl Orsbourn, Kim'ssidemoneyplans Organizations: Service, YouTube Locations: Los Angeles, Washington, Jersey, Orange County , California

☆ DoorDash will start surveilling delivery workers' driving with an app that tracks how hard they are braking and accelerating
▼ + stars: | 2023-11-03 | by ( Alex Bitter | ) www.businessinsider.com time to read: +3 min

A new feature on the DoorDash app tracks how often its workers break or accelerate suddenly. The information will be available to dashers through "Driving Insights," the company said Friday. DoorDash said the feature uses the same location data from workers' phones that it already uses for features like navigation. DoorDash has been testing Driving Insights since July in Phoenix and Salt Lake City. The app assigns each driver a score and penalizes them for hard stops, quick acceleration, speeding, and other driving issues.

Persons: It's, —, DoorDash, Dashers, Austin Haugen, Haugen, haven't Organizations: Service, Amazon, Apple Locations: Phoenix, Salt Lake City, Atlanta , Houston, Dallas, Detroit, Cleveland, Miami, Charlotte, Palm Beach

☆ DoorDash will start tracking delivery workers' sudden stops and accelerations
▼ + stars: | 2023-11-03 | by ( Alex Bitter | ) www.businessinsider.com time to read: +3 min

A new feature on the DoorDash app tracks how often its workers break or accelerate suddenly. The information will be available to dashers through "Driving Insights," the company said Friday. DoorDash said the feature uses the same location data from workers' phones that it already uses for features like navigation. DoorDash has been testing Driving Insights since July in Phoenix and Salt Lake City. AdvertisementAdvertisementThe features are meant to improve safety for DoorDash workers, Austin Haugen, Vice President of Dasher Product, said in the company's statement announcing the feature changes.

☆ No Tip for Your Delivery Driver? Then Be Prepared to Wait, DoorDash Says.
▼ + stars: | 2023-11-02 | by ( Christine Hauser | More About Christine Hauser | ) www.nytimes.com time to read: +1 min

The pressure on customers to add a tip, which DoorDash addressed in a statement on Wednesday, was the company’s latest effort to make changes to its app amid concerns about the rights of gig workers and fair pay for delivery people. In June, DoorDash announced it would give delivery drivers the option to be paid an hourly minimum wage, which would vary by region, instead of earning money for each delivery. DoorDash started its tip pilot earlier this year in some cities in the United States and Canada, and might expand it nationwide, the company said. She said that Dashers, the nickname for the independent gig workers who pick up and deliver food and other goods for DoorDash, keep the tips that they make. It is now appearing for randomly chosen users in several cities in the United States and Canada, DoorDash said.

Persons: DoorDash, “, ” Jenn Rosenberg, Dashers, Tipping Locations: United States, Canada

☆ DoorDash is testing warnings about bad service if you don’t tip your driver
▼ + stars: | 2023-11-01 | by ( Danielle Wiener-Bronner | ) edition.cnn.com time to read: +2 min

New York CNN —Thinking of skimping on a DoorDash tip? The message is just a test, DoorDash spokesperson Jenn Rosenberg told CNN in an email. DoorDash, along with other third-party delivery providers, has opposed efforts to create a minimum wage for delivery drivers. Federally, the tipped minimum wage is just $2.13 per hour (some states have higher minimums). Employers are required to make up the difference if tips don’t bring workers up to the federal minimum wage.

Persons: Jenn Rosenberg, we’re, ”, ” Rosenberg Organizations: New, New York CNN, DoorDash, CNN, Employers Locations: New York

☆ DoorDash warns customers who don't tip: your order could be slower
▼ + stars: | 2023-11-01 | by ( Grace Dean | Alex Bitter | ) www.businessinsider.com time to read: +4 min

DoorDash is reminding customers their orders may be quicker if they leave a tip for their driver. It's the latest attempt by DoorDash to encourage customers to tip more. In June, DoorDash starting sending tip "nudges" to customers, reminding them that they can increase tips for 30 days after a delivery. "In some cases, customers place orders through merchants directly and are not given the option to provide a tip on an order," DoorDash notes on its website. "This does not mean the customer chose not to leave a tip – it means they were not given the opportunity to leave a tip when they placed their order."

Persons: DoorDash, —, Jenn Rosenberg, " Rosenberg Organizations: Service, Wall Street

☆ DoorDash, Instacart, and GrubHub drivers say they're being booted from their delivery jobs without notice — and the services won't tell them why
▼ + stars: | 2023-09-26 | by ( Alex Bitter | Nancy Luna | ) www.businessinsider.com time to read: +13 min

Unexplained deactivations are commonplace for some gig workers, according to accounts from drivers. The agent on the other end approved it, he told Insider, and assured him that it wouldn't negatively affect him. Sudden, unexplained deactivations have become commonplace for workers on gig delivery apps, according to accounts from these workers. Grubhub and DoorDash told Insider that employees determined the deactivations of drivers. Do you work for Instacart, DoorDash, Uber Eats, or another delivery service and have a story idea to share?

Persons: —, Uber, would've, they'd, Steve, Jason Picon, Jason, Grubhub, Michael Loccisano, Instacart, Rikki Nudelman, I've, DoorDash, Nudelman, we're, New York City, Sergio Avedian, Guy, Avedian, Carsten Koall, Uber hadn't Organizations: Service, Grubhub, Santa Barbara, DoorDash, New York Daily News, Tribune, Getty, Walmart Locations: Oregon, Virginia, Texas, California, Central California, Los Angeles, Santa, New York, New York City Ribeiro, New, Seattle, deactivations, Berlin

☆ Tipping 'nudges' are now popping up on DoorDash. If you don't leave a gratuity, you'll hear about it.
▼ + stars: | 2023-08-13 | by ( Nancy Luna | Alex Bitter | ) www.businessinsider.com time to read: +5 min

Some delivery workers have tried to increase their gratuity by asking DoorDash customers for higher tips mid-delivery. As a result, the average food delivery tip has increased by 20% from 2020 to 2022, Uber Eats told Insider. With tips and base pay, DoorDash said on average, Dashers make $25 per hour on active deliveries. Many gig delivery workers make below minimum wage and say their earnings have fallen since the height of the pandemicA 2020 study found many gig delivery workers are struggling to make minimum wage. The survey of gig workers from the Economic Policy Institute found that about 14% of gig workers made less than the federal minimum wage, and 29% earned less than their state's minimum wage.

Persons: DoorDash, Austin Haugen, Shroff, Heather Taylor, Dashers, DoorDash's, Instacart, Uber, Carsten Koall, Sergio Avedian, Guy Organizations: Service, Starbucks, Consumers, Base, Economic Policy Institute Locations: Wall, Silicon, Corpus Christi , Texas, Los Angeles

☆ The rise of gig workers is changing the face of the US economy
▼ + stars: | 2023-07-24 | by ( Samantha Delouya | ) edition.cnn.com time to read: +9 min

The number of gig workers is growing and making an impact throughout the economy. But workplace experts say the number of gig workers is growing, and and their impact is being felt throughout the economy. “People who have access to the gig economy borrow less money than people who don’t. Working in the gig economy can help people spend more time searching for their next job, if they've been laid off. “We could do so much better.”Recently, local governments have attempted to bolster platform gig workers’ protections.

Persons: Los Angeles CNN — Lazarus, ”, that’s, Eric Baradat, Louis Hyman, Uber, DoorDash, Jenn Rosenberg, Hyman, “, Erica Groshen, they've, Spencer Platt, Doordash, Susan Houseman, Groshen, we’ve, ” Groshen, they’re Organizations: Los Angeles CNN, Uber, CNN, DoorDash, Getty, of Labor Statistics, Cornell University, “ Society, University of Chicago, IRS, Bureau of Labor Statistics, Massachusetts Institute of Technology, BLS, . Upjohn Institute, Employment Research, North, New York City, Federal Reserve, Federal, System Locations: Hill , North Carolina, “, United States, AFP, DoorDash, Kalamazoo , Michigan, North America, New York, California

☆ Delivery drivers are shaming customers for their tips. DoorDash says it's looking into the latest TikTok video calling out the trend.
▼ + stars: | 2023-07-24 | by ( Alex Bitter | Nancy Luna | ) www.businessinsider.com time to read: +3 min

Some delivery drivers are shaming customers who leave tips that they think are too small. DoorDash said it's looking into a TikTok video that appears to show a delivery driver complaining about a $5 tip. It shows a screenshot of an apparent text message from a DoorDash delivery driver. DoorDash told Insider that it was looking into the video. Some DoorDash drivers have told Insider that they are highly dependent on tips for their earnings.

Persons: DoorDash, Ethan Melillo, Melillo Organizations: Service Locations: Wall, Silicon

☆ How much should you tip on food delivery? Drivers say it should be based on distance and time, not just the total bill.
▼ + stars: | 2023-07-23 | by ( Will Gendron | Lakshmi Varanasi | ) www.businessinsider.com time to read: +5 min

Delivery drivers are weighing in on a contentious debate over what constitutes a good tip. Some drivers say a good tip is roughly 15% to 20% gratuity on the total cost of a delivery order. The drivers Insider interviewed generally agreed that the baseline for a good tip is between 15% to 20% of the total bill — including taxes and fees. Percentage-based tips don't always account for the time and effort it takes to deliver an order, drivers said. Consider delivery time and distance when tipping, drivers sayWhether a $5 tip on a $20 order is good (or bad) can depend on the circumstances of the delivery.

Persons: DoorDash, Uber, Vong, Heaven Leigh, Leigh, Dashers, Patrick Schoonover Organizations: Service, nab Locations: Wall, Silicon, New York City, Manhattan, Phoenix, Arizona

☆ How much should you tip on a $20 food delivery? A DoorDasher went viral for saying a $5 isn't enough. We asked 10 drivers.
▼ + stars: | 2023-07-09 | by ( Lakshmi Varanasi | Will Gendron | ) www.businessinsider.com time to read: +5 min

DoorDash recently fired a driver after he cursed at a woman for tipping $5 on a $20 order. It comes as more businesses are asking customers to tip at cash registers and even at self-checkout stations. In a blog post from 2019, Grubhub suggested customers tip 20% — and consider adding more if it's an extra-big order, or if there's bad weather. That means the woman who tipped $5 on her $20 DoorDash order — which is a 25% gratuity — actually gave quite a good tip, drivers said. "A $5 tip on a $20 order?

Persons: DoorDash, Casa, —, Grubhub, Alberto Mendes, they've, Olam, Mendes, Covid, Juan, he's Organizations: Service, Starbucks, Google Locations: New York City, Wall, Silicon, Casa Bonita, Manhattan, That's

☆ A DoorDash delivery worker was fired after cursing at a woman who gave a $5 tip on a $20 order
▼ + stars: | 2023-07-05 | by ( Sawdah Bhaimiya | ) www.businessinsider.com time to read: +2 min

A DoorDash driver was fired after he cursed at a woman for tipping $5 on a $20 order. "It's a nice house for a $5 tip," the driver said, in a now-viral TikTok video of the incident. Purciful clarified in the comment section that she contacted DoorDash and the driver has since been fired. In another post of the same clip, Purciful asked: "So how much should I be tipping for a $20 pie??" Purciful received an outpouring of support from comments across her posts with one person saying: "5$ is a great tip.

Persons: it's, —, Lacey Purciful, Purciful, DoorDash, Insider's Alex Bitter Organizations: Service

☆ DoorDash is offering hourly pay to fix a problem with food orders
▼ + stars: | 2023-06-28 | by ( Danielle Wiener-Bronner | ) edition.cnn.com time to read: +3 min

DoorDash will begin offering its delivery drivers hourly pay, the company said Wednesday, to help make sure workers have a better sense of how much they’ll earn per shift. Previously, delivery workers were paid per delivery offer, an option which remains available. The hourly rate is calculated to be comparable to what workers would earn per delivery, the company noted. DoorDash is changing how delivery drivers get paid. New York City recently announced a new minimum pay-rate for app food delivery workers.

Persons: DoorDash, Smith, they’re, Cody Aughney, DoorDash’s, ”, “, it’s, ” Austin Haugen, Ramishah Maruf Organizations: New, New York CNN, New York, Logistics, Dasher, DoorDash Locations: New York, New, New York City

☆ DoorDash is changing how it pays its 13 million gig drivers – and will let customers boost tips after delivery
▼ + stars: | 2023-06-28 | by ( Nancy Luna | ) www.businessinsider.com time to read: +4 min

New features include giving customers the ability to edit tips after the delivery is complete. The company is also giving its gig workers the choice to earn their pay per hour, instead of by delivery order. Customers can add or increase a tip for drivers on the app up to 30 days after delivery. At DoorDash, consumers won't be able to reduce tips after delivery, the company said. DoorDash is also launching SNAP benefits for online payments for grocery delivery with brands such as Safeway, Albertsons, Meijer, Aldi, and 7-Eleven.

Persons: —, Rajat Shroff, DoorDash's, Shroff, Austin Haugen, Uber, Sergio Avedian, DoorDash, Cody Aughney, Aughney Organizations: Service, Consumers, Logistics, Dasher & Logistics, Safeway, Albertsons Locations: DoorDash, Los Angeles, Canada, Australia, Meijer, Aldi

☆ Uber and DoorDash warn of huge changes when New York City adopts its new $18 minimum wage for delivery workers
▼ + stars: | 2023-06-13 | by ( Gloria Dawson | ) www.businessinsider.com time to read: +5 min

New York City announced a new law making $18 the minimum wage for delivery workers. "New York City is setting the tone for across America," Adams said during a press conference announcing the new minimum wage. Currently, most apps pay delivery workers, who are contractors and not employees, per order. DoorDash's spokesperson said many of its delivery workers are casual users who are supplementing income at their full- or part-time jobs. Grubhub, for its part, said the pay structure had "good intentions" but would have "serious adverse consequences for delivery workers in New York City."

Persons: Uber, —, Eric Adams, Adams, Josh Gold, Gold, DoorDash's, Gloria Dawson Organizations: York City, Service, New York City Department of Consumer, New Locations: York, York City, America, New York City, New York

☆ New York City announces minimum wage for app food delivery workers
▼ + stars: | 2023-06-11 | by ( Ramishah Maruf | ) edition.cnn.com time to read: +4 min

New York CNN —New York City on Sunday announced a new minimum pay-rate for app food delivery workers amid a rise in use of services like Uber Eats and DoorDash since the pandemic. The city says delivery apps will have flexibility in how they pay delivery workers the new minimum rate. “Our delivery workers have consistently delivered for us — now, we are delivering for them,” New York City Mayor Eric Adams said in a statement. Delivery workers also struggled to find spaces when it rained or access to restrooms. “People view delivery workers as dirty, smelly and taking up too much space,” said Joshua Wood, a member of Workers Justice Project told CNN in May.

Persons: Uber, ”, Eric Adams, there’s, Ligia Guallpa, DoorDash, it’s, “ Today’s, “, ” Uber, Josh Gold, Uber Eats, Joshua Wood, Adams Organizations: New, New York CNN — New, Sunday, York City, Worker’s, Euromonitor International, CNN, Workers Justice Project, ”, Department of Consumer and, Protection, Unidos Locations: New York, New York CNN — New York City, York, New York City

☆ Uber's AI potential is making it stand out among its peers. Here's what that could mean for its stock.
▼ + stars: | 2023-05-19 | by ( Michelle Fox | ) www.cnbc.com time to read: +11 min

All told, there is a nearly $6 trillion in revenue opportunity from AI across the internet industry, a March report from Morgan Stanley found. "UBER/LYFT/DASH already use ML [machine learning] in their matching algorithms (matching rides/eaters with drivers/couriers)," Morgan Stanley wrote in its report. AI tailwind for Uber Uber has both its ride-sharing service and UberEats food delivery business. According to Morgan Stanley, AI and machine learning will be a tailwind to network efficiency. "The extent to which AI drives substantial improvements in top-line growth could lead to teens upside [for the stock]," Morgan Stanley said.

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