New Minimum Wage Increase Sparks Outrage

Photo by Kate Townsend on Unsplash

( – New York State Supreme Court Judge Nicholas Moyne has ruled in favor of the imposition of a minimum wage requirement for delivery workers working for delivery apps, despite attempts to have the law blocked.

Previously, Doordash, Grubhub, and Uber had filed requests calling for the new law to be blocked. Following their filing, Moyne issued a stay on the rule and paused it from going into effect. The law was announced in June by the New York City Department of Consumer and Worker Protection (DCWP) and New York City Mayor Eric Adams.

The new rule would require food delivery apps to pay all of their drivers minimum wage, which is at least $17.96 per hour, regardless of the tips they receive. This wage would also follow upcoming increases to the minimum wage, which is expected to go up to $18.96 hourly in April 2024 and $19.96 hourly the following year.

Currently, the 60,000 delivery workers in the city make on average $7.09 per hour, according to The Associated Press.

In July, a joint lawsuit was filed by GrubHub and DoorDash, which was later consolidated with the two other lawsuits that had been filed by Relay Delivery and Uber.

On Thursday, the DCWP praised the judge for his decision, arguing that delivery workers would now be receiving a “dignified pay rate.” Moyne, in his decision, denied the decisions from three of the companies but granted Relay a preliminary injunction, arguing that the New York-based company would need to renegotiate the contracts with restaurants in order to adjust its prices and abide by the rule.

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