New York City was ordered by a judge to temporarily delay new minimum pay standards for app-based food delivery workers.
The order came Friday, a day after city officials were sued by Uber Eats, DoorDash, Grubhub and Relay Delivery.A pay raise giving New York City's 60,000 food app delivery workers close to $18 an hour starting next week has been temporarily paused after Uber, Door Dash, GrubHub and other online and mobile food ordering and delivery services filed a lawsuit to prevent the raise from happening.
The delivery apps lawyers say the companies could be irreparably harmed by wage increases in the new law. ' "The City’s entire rule depends on the false assumption that restaurants make no money on deliveries - it must be paused before damaging restaurants, consumers, and the couriers it purports to protect," Uber spokesperson Josh Gold said.
"This is a first of its kind, and it was implemented in New York because these workers are really not in particular employees. They're really more like independent contractors," Seth Berenzweig, a business and compliance law attorney told FOX 5 NY. "So the local legislators determined that they needed special protection.
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