New York City Increases Hourly Wage for Food Delivery Workers on Uber Eats and Doordash Apps

New York City on Sunday announced a substantial increase in the new hourly rate for the approximately 60,000 food delivery people using the Uber Eats and Doordash apps.

Delivery workers who currently earn US$7.09 per hour will see their hourly wage increase to US$17.96 from July 12, before being raised to US$19.96 from April 2025, in adjusting each year for inflation, according to a city statement taken by CNN.

The city administration says delivery companies will have flexibility in how they pay delivery people per trip, per hour worked or otherwise, according to the new hourly rate.

“This new minimum wage rate, up nearly US$13.00/hour, will ensure these workers and their families earn a living, access greater economic stability,” said the City of New York.

Doordash, which denounced the administration’s decision, plans to take legal action, while Uber Eats believes that the new imposition of a new hourly rate risks cutting jobs, according to the American media.

Delivery orders have soared during the Covid-19 pandemic accounting for nearly 9% of restaurant sales in the United States, up from 7% in 2019.