Mamdani Forces Delivery Apps to Pay Back $4.6 Million Cheated From Drivers
Briefly

Mamdani Forces Delivery Apps to Pay Back $4.6 Million Cheated From Drivers
"According to NYC Streetblog, the three main culprits being forced to settle are Uber Eats, Fantuan, and Hungry Panda. The three settlements were the result of a sweeping investigation into broader delivery app practices, which included GrubHub and DoorDash. Per the mayoral administration, Uber Eats unfairly deactivated and underpaid thousands of workers between December 4, 2023, and September 2, 2024. It's now being forced to pay $3,150,000 in worker relief penalties across over 48,000 workers, in amounts ranging from $8.79 to $276.15."
"Zohran Mamdani and Department of Consumer and Worker Protection commissioner Sam Levine announced that three delivery apps will be forced to repay $4.6 million in wages held back from deliveristas, New York City's app-based delivery workers. "The era of giant corporations juicing profits by underpaying workers is over," Levine said in a statement. "I'm proud that this agency is not only returning full back pay, but is recovering damages and penalties to send a strong message that cheating workers will not be tolerated.""
New York City ordered three delivery apps—Uber Eats, Fantuan, and Hungry Panda—to repay $4.6 million to deliveristas after an investigation found withheld wages and wrongful deactivations. The probe covered practices across multiple platforms, including GrubHub and DoorDash. Uber Eats faces $3,150,000 in worker relief across more than 48,000 workers and $350,000 in civil fines, with individual recoveries ranging from $8.79 to $276.15. The administration emphasized recovering full back pay, damages, and penalties to deter algorithmic management abuses and to signal that underpaying and deactivating workers without consequence will be enforced against.
Read at Futurism
Unable to calculate read time
[
|
]