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DoorDash raises minimum pay to $29.93 per hour in NYC

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Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#61

Post by devrand »

koolba wrote: post #8

> Dashers who deliver in NYC will now earn at least $29.93 per hour of active time, nearly twice NYC’s $15 minimum wage for other workers. What’s a realistic amount of “active time” per hour? I’m assuming waiting for a job is not active time right? > These new regulations will force us to raise fees for orders in New York City. In order to better balance the impact of these new costs, we’re moving the option to tip i…

I think you're misunderstanding the change to tipping. DoorDash is effectively eliminating it (or at least making it truly optional). The city's study [1] advocates for this explicitly:

> Beyond productivity, there also exist several other margins for adjustment to higher delivery worker pay. For instance, apps could choose to reduce consumers’ costs through changes to the user interface that discourage or eliminate tipping (or, equivalently, consumers could choose to tip less in light of workers’ higher pay, independent of any changes engineered by apps). The Department finds that if tipping were eliminated at all apps, costs to consumers would increase by $1.06 per delivery (3%) with workers still receiving sizable pay increases.

Basically, the previously "mandatory" tip is now baked into the price upfront. I think this exactly what you want.

[1]: https://www.nyc.gov/assets/dca/downloads/pdf/workers/Deliver...

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#62

Post by BoiledCabbage »

jallen_dot_dev wrote: post #35
koolba wrote: post #8

> Dashers who deliver in NYC will now earn at least $29.93 per hour of active time, nearly twice NYC’s $15 minimum wage for other workers. What’s a realistic amount of “active time” per hour? I’m assuming waiting for a job is not active time right? > These new regulations will force us to raise fees for orders in New York City. In order to better balance the impact of these new costs, we’re moving the option to tip i…

I did a quick search and it appears the law sets a minimum of about $20 per hour. So I guess DoorDash considers there to be about 40 minutes of "active time" per hour?

That seems to "match" what I quickly saw. I'm in no way an expert on this, but I did some quick spot checking of what I could find online. From 5-10 screenshots I saw of people's earnings drivers seem to have about 70% or 75% of "dashing time" as active time.

There were exceptions I also saw, someone at 50%, some other people said they were at ~90% although I didn't see screenshots.

I assume this varies heavily by if your in a city or not or how close to meal time it is which I've got no insight into.

And note this could be all entirely wrong - it's people who chose to post their screenshots online so huge risk for selection bias to it being higher paid workers.

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#63

Post by bpicolo »

squeaky-clean wrote: post #57
jallen_dot_dev wrote: post #35

Earlier quoted context omitted.

I did a quick search and it appears the law sets a minimum of about $20 per hour. So I guess DoorDash considers there to be about 40 minutes of "active time" per hour?

What law are you referring to, and a minimum of $20 per hour for what? Wouldn't your interpretation mean I can sign up for DoorDash, keep the app open, never accept a delivery, and be guaranteed $20/hr?

https://nypost.com/2023/12/01/business/uber-doordash-and-gru...

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#64

Post by pcl »

dangrossman wrote: post #11

"Tips" were effectively bids for service under the old model, as they were paid before the service was performed and determined whether a driver felt it worthwhile to accept that order. Now DoorDash will have to dynamically figure out how much to charge the customer to both interest drivers and meet this minimum pay requirement. I'm interested in seeing how it turns out.

The press release says they're paid "after checkout". I assume that that means immediately after payment of what appeared to be the price, but still before receipt.

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#65

Post by gen220 »

Do other people in NYC use Doordash? Curious to understand people who do.

Anecdotally, I never have even considered it – although it's true that I'm somebody who prefers choosing my own groceries.

I feel like the value prop (i.e. value less [opportunity] costs) is de minimis to most in NYC, with abundant grocers and restaurants at every price point.

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#66

Post by ceejayoz »

hypeatei wrote: post #59
ceejayoz wrote: post #37

Earlier quoted context omitted.

It is, and apparently a common shitty thing the drivers experience is big tips that evaporate shortly after delivery.

Not with DoorDash, drivers recieve the tip no matter what. If you talk to support and get your tip refunded (for poor service or something), DD eats the cost.

https://www.today.com/food/restaurants/tip-baiting-delivery-...

> Tip baiting is when customers enter a certain tip amount when they order their food or groceries on a food delivery app like Uber Eats, DoorDash, Grubhub or Instacart and then lower the amount or remove the tip entirely after they have gotten their delivery.

Maybe they changed policy at some point?

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#67

Post by BoiledCabbage »

bpicolo wrote: post #63
squeaky-clean wrote: post #57

Earlier quoted context omitted.

What law are you referring to, and a minimum of $20 per hour for what? Wouldn't your interpretation mean I can sign up for DoorDash, keep the app open, never accept a delivery, and be guaranteed $20/hr?

https://nypost.com/2023/12/01/business/uber-doordash-and-gru...

I don't know, but presumably OP is referring to a $20min wage as covering active time, not "dashing" time. The latter means you have the app open and are scheduled to work. Active means you are actively driving to a restaurant, picking up food or dropping it off.

So if you schedule two hours and the app give you no hits, or you decline hits that time wouldn't count.

Now that said, I know nothing about the $20 min wage and can't say if that's accurate or not.

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#68

Post by Nextgrid »

bluSCALE4 wrote: post #51

I personally feel like outsourced delivery for hot food orders at peak hours is a flawed idea. I've used Grubhub and it seems like they try to group deliveries. In my situation, I had a driver pick up my food only to drive it around down and deliver it to me 40 minutes later. If I order from a place and they don't have a driver on staff, I won't order delivery.

The problem isn't that they group orders, it's that you weren't aware of it and weren't given the choice. You were made to believe that you were paying for a direct order and it's only after the fact you realize but by then it's too late and getting your money back is a hassle. There would be no problems if you were given the choice upfront to pay less for a grouped order or more for a direct order.

The problem is that these companies need to somehow pay for all that "growth & engagement" and so have insane overheads, so being upfront about the costs will mean they'd get no business, so instead they obfuscate it as much as possible like in the above scenario or outright steal drivers' tips.

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#69

Post by sergers »

ceejayoz wrote: post #37
mcintyre1994 wrote: post #26

Earlier quoted context omitted.

In the UK with Uber Eats/Deliveroo you can select a tip when you order and then you can modify the tip up to a short time after the order. So you can just put no tip and then add one after delivery if it’s good service, or increase/decrease it. Is that not how it works with DoorDash?

It is, and apparently a common shitty thing the drivers experience is big tips that evaporate shortly after delivery.

For DD In Canada, you cant reduce the initial tip in the app/site.

You can add an additional Tip post order/delivery.

I have been tipping only like 50cents for down the road, to maybe 1.50/2$ for within 10 mins drive.

Haven't had issues receiving anyorders.

Plus it's not like you get tipped wages here in BC, but they did recent mandate a $21 delivery wage (2$ cad more than standard wage)

For long distance I have tipped more but I am reducing my tipping overall.

Like I am paying a BC bag fee to get a paper bag for 25 cents, well unfortunately that means I am paying 25 cents less for other things including tip

Re: DoorDash raises minimum pay to $29.93 per hour in NYC

#70

Post by mcintyre1994 »

ceejayoz wrote: post #37
mcintyre1994 wrote: post #26

Earlier quoted context omitted.

In the UK with Uber Eats/Deliveroo you can select a tip when you order and then you can modify the tip up to a short time after the order. So you can just put no tip and then add one after delivery if it’s good service, or increase/decrease it. Is that not how it works with DoorDash?

It is, and apparently a common shitty thing the drivers experience is big tips that evaporate shortly after delivery.

Ah, AFAIK the tip is hidden for the UK services. They’re also batched so the driver can’t know who tipped/what tip an individual order gave them. It sounds silly to show a tip on the order that can then change later.
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