DoorDash Settles Tip Subsidy Issue

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Business & Economics

DoorDash to settle New York lawsuit over misleading tipping practices by paying $17 million

Summary

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76% Informative

DoorDash has reached an agreement with the New York Attorney General over an old practice wherein the company used customers' tips to subsidize its drivers' pay.

The company will pay $16.75 million in restitution that will be divided between 63,000 drivers.

In New York , app-based delivery companies are now required to pay their drivers a minimum wage that's currently set to $ 19.56 per hour.

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informal

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English

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