Judge upholds NYC's minimum wage for delivery workers

A judge on Thursday upheld New York City’s new minimum wage for delivery workers in the latest defeat of Uber’s relentless legal challenges to the rule.

Under the new minimum pay law, tech companies must pay delivery workers in the city at least $17.96 per hour plus tips, with another increase to at least $19.96 an hour by 2025. Before the new minimum wage, delivery workers were making about $11.12 with tips, and as little as $4.03 an hour without tips, according to a report by the city.

Mayor Eric Adams celebrated the decision as a win for delivery workers in a statement on Wednesday.

“Our delivery workers have consistently delivered for us — now, we are delivering for them,” Adams said in a statement. “Today’s court decision is yet another promise made and promise kept by our administration on behalf of working New Yorkers, and it is a powerful tool to hold apps accountable. This minimum pay rate will guarantee our delivery workers and their families can earn a living and keep our city’s legendary restaurant industry going strong.”

The regulations were first announced by Adams in June, initially to go into effect by July 12. But just days before it was set to go into effect, UberEats, DoorDash and GrubHub filed lawsuits against the city seeking a temporary restraining order from the state Supreme Court in Manhattan to stop the plan.

Appeals Judge Nicholas Moyne paused the change while he deliberated. On Sept. 28, he ruled against the delivery giants, allowing the wage increase to go through. Uber immediately tried to appeal to the Appellate Division of the Supreme Court, the next highest court, again blocking the minimum wage from taking effect.

On Wednesday Judge Llinét M. Rosado denied that request, upholding the lower court’s decision without explanation. It is unclear when the new minimum wage will take effect.

New York City Comptroller Brad Lander said the ruling was a “monumental” win for the workers.

“As essential workers with grueling conditions, they deserve a pay standard that is not dictated by the whims of apps companies or by how many food orders they can achieve in an hour,” Lander said. “These workers deserve secure pay that allows them to put food on their own tables while delivering food to our doors.”

Gustavo Ajche with Los Deliveristas Unidos, the delivery worker collective that has been fighting for better wages for years, said the group was happy with the decision, but hesitant to celebrate until they see the law implemented.

“It’s a really good day for us today,” Ajche “It’s really good, it’s another step, but we’re not going to say, 'We won, we got this.' We want to see the money in all the delivery workers pockets. It’s something that we’re waiting for for months now, but today is another step forward in our fight.”

Uber spokesperson Josh Gold said the company was disappointed in the decision, but was glad to see that drivers will now be able to afford safer e-bikes after several fatal fires related to the lithium-ion batteries found inside them.

“While we're disappointed the city pushed through a rule that eliminates jobs, discourages tipping, and forces couriers to go faster and accept more trips, the higher wage does address another priority of the city by including enough money to purchase their own UL certified e-bikes and batteries,” Gold said.