This will essentially kill these platforms. I don't have the data but I can see how a delivery can take, on average, one hour. Between waiting for an order to arrive, accepting it, going to the food place, taking it to the destination, delivering it, etc... $17 + fees + tips? => $20+ delivery fee. Unless you are delivering for a well-off family of 5, it makes no sense.
We had ubiquitous fast and free local restaurant delivery in NYC for decades before these apps showed up. Before cell phones even. Every hallway had a pile of menus. It’s not really better now and killing these apps wouldn’t make it worse.
Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
71–80 of 124 posts
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#72What a crap business model these companies have if they rely on haggling over legal loopholes to operate. The business case, at best, is the status quo remains with material threats to their operations if these laws change. This is a lose-lose for everyone. Ignore the morality arguments, why risk your money on something with almost zero upside and all this downside? Suing the government is not a sign of strength
There’s a competitor in India called BluSmart right now that’s running all electric, fully owned fleets. The drivers are paid fair hourly wages and thus have no incentive to refuse rides or not wait. The cars are simply parked at earmarked charging spots in the city. Their own vetted drivers can unlock the cars at any point and start picking up passengers before dropping it off at a charging station. The rides are so…
That may be, but are they equal or more profitable than the Uber, et al model? I'm willing to bet if it were that they would be doing that instead. These companies are in the U.S. where maxing profits/shareholder value vs. taking care of employee needs (or any other need) is generally the name of the game for a major majority of companies.
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#73What a crap business model these companies have if they rely on haggling over legal loopholes to operate. The business case, at best, is the status quo remains with material threats to their operations if these laws change. This is a lose-lose for everyone. Ignore the morality arguments, why risk your money on something with almost zero upside and all this downside? Suing the government is not a sign of strength
How about when SpaceX sued the US government because they were awarding launch contracts to Boeing without competing? SpaceX largely won that and they had a good point.
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#74What a crap business model these companies have if they rely on haggling over legal loopholes to operate. The business case, at best, is the status quo remains with material threats to their operations if these laws change. This is a lose-lose for everyone. Ignore the morality arguments, why risk your money on something with almost zero upside and all this downside? Suing the government is not a sign of strength
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#75To be clear before I say anything: I think the entire food delivery app business model is bad for all parties involved and that these companies are bad actors. But … I don’t think the cities are properly accounting for the ease of using multiple apps? If a driver is logged into Uber and Doordash and GrubHub on 3 phones waiting for a delivery they probably should not be accruing $17.96*3 per hour at that time. But it…
I disagree, the business model works out just fine for a lot of people. At the core of the problem is the concept if a contractor. These cities are trying to go around a federally defiend concept of contracting. You agree, as a self-employed business operator to provide services and get paid for it. Employees on the other hand provide labour which means performing assigned tasks under a specific job title, typically…
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#76Earlier quoted context omitted.
How does that compare with spending your time going out and picking up your food or taking your family to a restaurant? That has to be a minimum of 30-45 minutes of time spent traveling plus car or transit expenses. It might be more, but is it a lot more?
Sure. If you make $150/hour, it might make sense. But that's hardly the case for the average person.
I think the higher fee will push out the boundary of where average, healthy people are willing to travel, but it doesn't push it out great distances.
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#77Earlier quoted context omitted.
> I can see how a delivery can take, on average, one hour In New York? > will essentially kill these platforms It will curtail them. They will need to trim their driver network, which will reduce the number of drivers and increase delivery times. Restaurants and consumers outside high-density areas no longer make sense to cater to. Dropping restaurants who don’t meet minimums will also, likely, be necessary. In summa…
Even in the kinda rural area I grew up in it was common for Italian restaurants to have their own delivery drivers. Many still do, because the customer experience of the delivery apps is often inferior. If we go back to a pre-food delivery app time, my general take would be "and nothing of value was lost." Restaurants will still be able to have their own delivery services, people will still be able to simply pick up…
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#78Earlier quoted context omitted.
Even in the kinda rural area I grew up in it was common for Italian restaurants to have their own delivery drivers. Many still do, because the customer experience of the delivery apps is often inferior. If we go back to a pre-food delivery app time, my general take would be "and nothing of value was lost." Restaurants will still be able to have their own delivery services, people will still be able to simply pick up…
> Getting your Hamburger from that special place across town (lukewarm) is nice, but it won't kill you if its not possible anymore It might kill that special place across town, or at least cause it to reduce hours.
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#79Earlier quoted context omitted.
> If a driver is logged into Uber and Doordash and GrubHub on 3 phones waiting for a delivery they probably should not be accruing $17.96*3 per hour at that time. Why not? The entire shtick of Uber et al is that employees choose their hours and gain "freedom" from employees. This is what freedom looks like. Employers can't tell freelance contractors how they should behave. They decide a contract, they get a service a…
Not employees but contractors. If they are employees they can be forced to sign non-competes.
Re: Uber, DoorDash Sue NYC to Stop Delivery Drivers from Getting a Minimum Wage
#80This will essentially kill these platforms. I don't have the data but I can see how a delivery can take, on average, one hour. Between waiting for an order to arrive, accepting it, going to the food place, taking it to the destination, delivering it, etc... $17 + fees + tips? => $20+ delivery fee. Unless you are delivering for a well-off family of 5, it makes no sense.
If they can’t pay minimum wage, then maybe they don’t need to exist.