A first-of-its kind law requiring a minimum wage for app-based delivery workers will take effect after a judge rejected the companies’ bid to block it.

Uber, DoorDash and Grubhub won’t be able to get out of paying minimum wage to their New York City delivery workers after all, following a judge’s decision to reject their bid to skirt the city’s new law. The upcoming law, which is still pending due to the companies’ ongoing lawsuit, aims to secure better wage protections for app-based workers. Once the suit settles, third-party delivery providers will have to pay delivery workers a minimum wage of roughly $18 per hour before tips, and keep up with the yearly increases, Reuters reports.

The amount, which will increase April 1 of every year, is slightly higher than the city’s standard minimum wage, taking into account the additional expenses gig workers face. At the moment, food delivery workers make an estimated $7-$11 per hour on average.

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      69 months ago

      Household income for me and my wife was around $150k and we got priced out of the city. A lot of Dashers take late night trains deep deep outside of the city, or they live with half a dozen other Dashers on alternating schedules, sharing beds.

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      49 months ago

      Not a resident of either but it’s worth mentioning that this is NYC not NY state and California probably has suburban and rural areas that are much, much cheaper cost of living than NYC.