Doordash to pay millions after having misused New York tips

Doordash has agreed to pay almost 17 million US dollars to pay the claims that customers did not use it properly to cover the wages of the deliverers in New York instead of enabling the drivers to keep their tips on the basic wage.

Doordash pays $ 17 million to NY workers due to abused tips

According to Latitia James, Attorney General of New York, Doorash used this controversial wage model from May 2017 to September 2019. The company guaranteed the employee to pay a base payment per delivery, but instead of taking tips on tops, it took tips into account in their basic salary, which was essentially reduced what Doordash had to pay for itself. In addition, customers had no idea that their tips were used to compensate for company costs instead of going directly to the employees.

Who is paid?

As part of the reimbursement of 16.75 million US dollars, justified Doordash drivers who worked in New York between 2017 and 2019 will receive compensation. You will be contacted with details by a billing administrator.

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Doordash, has changed his wage model since then and has rejected any misconduct.