Doordash begins with $ 17 million about tips abuse in NY

Doordash has agreed to pay 16.8 million US dollars to delivery drivers in the state of New York after he has been accused of not properly typing customers in order to reduce the basic salary of the company for employees. The settlement benefits around 63,000 “Dashers”, which worked in the state between May 2017 and September 2019.

The New York Attorney General Letitia James announced the settlement and explained that Doordash had applied tips on the basic wage drivers who were already guaranteed instead of adding the tips on their promised income. For example, if a driver guarantees 10 US dollars for delivery and received a tip of 4 US dollars, Doordash would only pay the driver to do 10 US dollars, using the tip to reduce his own contribution.

The company had assured the customer that the drivers would receive 100 percent of the tip, but the payment system was poorly disclosed and misleading. The agreement is reached after more than 11 million deliveries in New York in the time in question.

Doordash previously reached a similar agreement in Illinois and declared that he pays 11 million US dollars to the state driver. The company was facilitating to solve the matter and was looking forward to continuing to support employees with flexible income.