NYC proposes $24 minimum wage for third-party delivery workers

From Restaurant Business, Joe Guszkowski reports that New York city’s Department of Consumer and Worker Protection has proposed a minimum hourly rate for delivery couriers including those classified as independent contractors. Joe writes:

Couriers for DoorDash, Uber Eats and other delivery services in New York City would start earning $23.82 an hour in 2025 under a new proposal by the city’s Department of Consumer and Worker Protection.

That would be a significant raise from the workers’ current average hourly wage of $7.09 before tips, according to the city. It’s intended to level the playing field between contracted couriers and regular minimum-wage earners.

It would be one of the only laws of its kind in the U.S. and represents the latest challenge to the third-party delivery business model.

Third-party couriers are classified as independent contractors and therefore not paid a minimum wage. They’re also not entitled to other benefits such as expense reimbursement and health insurance.

New York’s proposal would seek to help its roughly 60,000 app-based delivery workers cover those costs by guaranteeing them a $19.86 hourly base rate, plus $2.26 for expenses like gas or repairs and $1.70 to make up for the absence of workers’ compensation.

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