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Instacart paying 80 cents an hour because worker received a large tip

workingwa.org

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Re: Instacart paying 80 cents an hour because worker received a large tip

#112
post #63

Earlier quoted context omitted.

That's not the logic behind the tipping system. It's, "tipping incentives employees to perform well because they'll make more money for doing a better job". It doesn't work that way either, but that's the rationale. Forcing people to tip to ensure people get paid enough money is a consequence of the system, not the reasoning why the system is implemented.

People do make the argument that you should tip generously because they're poorly paid.

Yeah, but, like the parent points out, that's not the rationale for having a tipping culture in the first place. It's just a well-intentioned attempt by people who live in a tipping culture to try and make it a bit less crappy for the people who have to suffer getting paid that way.

And/or a craven attempt by employers to further deflect any responsibility for responsibility for paying their employees. I noticed that the Curb app bumped the default tip rate to 25% at some point. I'm guessing that's somehow, directly or indirectly, leading to them or taxi companies getting to keep a larger cut of the fares.

Re: Instacart paying 80 cents an hour because worker received a large tip

#113

people should simply NOT tip. At restaurant maybe because it is socially mandatory, but anywhere else, a signal should be sent that it is stupid and doesn't make any economical sense to tip!

The signal is not sent by not tipping. You can disagree with it all you want, but the people who decide to institute tipping will not hear you if you don't tip.

They will, by being force to pay a correct minimum wage (or lose the worker)

Re: Instacart paying 80 cents an hour because worker received a large tip

#114
post #42

people should simply NOT tip. At restaurant maybe because it is socially mandatory, but anywhere else, a signal should be sent that it is stupid and doesn't make any economical sense to tip!

You're only hurting the workers; their employer's don't care.

[deleted]

Re: Instacart paying 80 cents an hour because worker received a large tip

#115
Instacart is AWFUL.

They're paying shit wages and thus offering shit quality, because they're offering a service that literally is unscalable. The logistics of laser-guided-bomb-type delivery of groceries from store to fridge is asinine.

Yo, grocery store shopping doesn't suck bad enough to pay someone else to do both the shopping and delivering! I'll pick up the pre-picked-up/bought groceries. I don't need you to delivery them directly to my fridge; I think I can handle that part. Just bring them out to my car when I pull up.

Problem solved, wages go up, quality goes up, I get my groceries. Everybody wins.

Re: Instacart paying 80 cents an hour because worker received a large tip

#116

I have never understood the tipping concept. Just pay your workers minimum wages at least and make tipping optional. I shouldn't have to tip the "employees" just because a company can get away without paying even minimum wage to its "employees". There is something seriously broken with the whole tipping thing.

Or increase the cost of your product or service and offer incentives to employees after you've already raised their wages.

Re: Instacart paying 80 cents an hour because worker received a large tip

#117
post #82
post #39

Earlier quoted context omitted.

Yep. They need to pay reimburse those workers with a penalty fee tacked on.

Same rules for should apply to wage theft as ordinary theft, more than $950 and it's a felony.

This isn't wage theft since they are independent contractors. It's more like a company stiffing a supplier. More of a civil than criminal matter. Of course, these folks wouldn't have the resources to sue anyway, even if they weren't bound by binding arbitration.

Re: Instacart paying 80 cents an hour because worker received a large tip

#118
post #40

I was a huge user of Instacart 2 years ago when my nearest grocery store turned into one of the busiest Whole Foods in my city that I didn't enjoy dealing with. The way they keep working to create opaqueness around their tipping to the point that last year Drivers were handing out pamphlets explaining how to remove the "Service Fee" (which nobody but Instacart gets) to tip the drivers was a huge red flag. Removing th…

100% of the tip goes to the driver yes. but, that statement is completely compatible with instacart changing how much they pay their driver for that delivery down to 80 cents. I hope this was a mistake on the part of instacart.

> I hope this was a mistake on the part of instacart.

According to the screenshot of Instacart's email, they confirmed this is accurate and was most definitely not a mistake. And according to the article, Instacart has doubled-down instead of apologizing.

Re: Instacart paying 80 cents an hour because worker received a large tip

#119
Instacart is not the only one of these apps doing this. Amazon Flex/Prime Now also does the same thing: https://www.reddit.com/r/AmazonFlexDrivers/comments/66zkx7/w...

There is some back-and-forth in that thread, but the gist of it seems to be the same as here, where Amazon takes tips into account when they calculate the base wage, which can result in getting a low base wage if there's a large tip.

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