NYC establishes first minimum wage for food delivery workers

New York City's food delivery workers are slated to make a minimum wage for the first time ever under new regulations announced by Mayor Eric Adams on Sunday.

Tens of thousands of delivery workers are slated to make at least $17.96 per hour plus tips by July 12, and at least $19.96 an hour by 2025, city officials said.

That's a sharp increase from what delivery workers make now. Many take home less than the city's minimum wage of $15 an hour.

“The ones that bring you pizza in the snow, and that Thai food you like in the rain,” said Adams. “This new minimum pay rate will guarantee these workers, and their families, can earn a living. They should not be delivering food to your household, if they can’t put food on the plate in their household.”

The $19.96 hourly rate is less than the $23.82 the Department of Consumer and Worker Protections originally proposed last November – but is still almost three times more than what delivery workers currently make, according to the city agency.

Sunday’s announcement comes after months of back-and-forth between delivery workers, elected officials and app companies over the minimum wage rates. City officials blew past a Jan. 1 deadline set by City Council legislation to establish the new wage rules.

Delivery companies, like Uber and DoorDash, argued that the new legislation will force a raise in prices and less schedule flexibility, while some advocates claim these companies are manipulating employees into testifying against the measure.

Josh Gold, a spokesperson for Uber, said the city “isn’t being honest with delivery workers.”

“They are telling apps: eliminate jobs, discourage tipping, force couriers to go faster and accept more trips – that’s how you’ll pay for this,” Gold said.

DoorDash spokesperson Eli Scheinholtz said the company was considering litigation against the city over the new pay rules.

The new minimum pay rate, DCWP commissioner Vilda Vera Mayuga said, “will ensure that they earn a better day’s pay while still allowing for flexibility for both apps and workers.”

“Ensuring these workers earn a dignified pay is an issue of equity,” Mayuga said. “Like all workers, delivery workers deserve fair pay for their labor and to be able to support themselves and their loved ones.”

Gustavo Ajche, who is a part of Los Deliveristas Unidos, an organization that advocates for this industry, told Gothamist the announcement made for “a really good Sunday.”

“To get to this moment is something huge for us,” said Ajche. “This is going to be a huge change for the lives of 65,000 delivery workers across New York City who have never seen a minimum pay. We’re so happy!”

City Comptroller Brad Lander, however, referred to the rule as "watered-down" and said his office calculated that the average worker would actually be paid $12.69 per hour due to what he called "regulatory double-speak."

“City Hall acquiesced to the lobbying of multi-billion dollar app companies, delaying the raises owed to deliveristas six months ago and setting a subminimum wage standard that pads corporate profits off the backs of some of the hardest workers in our city," he said in a statement. “Delivery workers should be paid at least the minimum wage after expenses, for every hour they work including the time spent waiting for their next delivery."

The DWCP will monitor whether apps and other businesses are adhering to the new requirement, Adams said. He added that the city’s new minimum wage law “is setting the tone across America.”

“We are making sure that working people who power this sector are getting their fair share,” he continued. “There are contract workers who have to cover lots of costs themselves, paying for the bike or car or medical bills, if they get sick or hurt. And they deserve a raise.”

This story has been updated with comment from Comptroller Brad Lander.