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AP Finance
NEW MINIMUM PAY RATES FOR NYC APP-BASED FOOD DELIVERY WORKERS ARE DELAYED
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Meta, Starbucks, Generac: Strategist's stock winners and losers
report, while the major averages
head for a week of losses.
META, STARBUCKS, GENERAC: STRATEGIST'S STOCK WINNERS AND LOSERS
Investors are constantly searching for the latest trends to keep up with the
dynamic market. Jay Woods, Freedom Capital Markets Chief Global Strategist,
details his stock winners and losers including Meta, Starbucks and Generac.
AP Finance
Fri, July 7, 2023 at 5:41 PM CDT·2 min read
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NEW YORK (AP) — A judge Friday ordered New York City to temporarily delay new
minimum pay standards for app-based food delivery workers, a day after being
sued by Uber Eats, DoorDash and Grubhub.
City officials recently announced plans to substantially increase earnings for
those workers in the coming years to provide them with more financial stability.
The law was set to take effect July 12 with an initial increased pay rate of
$17.96 an hour.
But food delivery services DoorDash, Grubhub and Uber, along with New York-based
Relay Delivery, sued Thursday in state Supreme Court in Manhattan. The companies
claimed the city's rule-making process was flawed and that higher costs would be
passed along to consumers.
Judge Nicholas Moyne on Friday ordered a temporary delay on enacting the new
standard pending a hearing on July 31.
Uber Technologies, Inc. (UBER)
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The food delivery giants praised the order.
“We are pleased with the judge’s decision today to delay implementation of a
rule that, if allowed to stand, will have serious adverse consequences for
delivery partners, consumers and independent businesses," Grubhub said in a
prepared statement.
DoorDash said in a statement that the company hoped the decision “puts us on the
path towards the city establishing a more reasonable earnings standard that
reflects how these platforms are used by New Yorkers.”
An Uber spokesperson said the company wants to work with the city and others "to
figure out a minimum pay rule that doesn’t have devastating consequences for
couriers, consumers and restaurants.”
Department of Consumer and Worker Protection Commissioner Vilda Vera Mayuga said
she was “extremely disappointed” with the delay.
“These apps currently pay workers far below the minimum wage, and this pay rate
would help lift thousands of working New Yorkers and their families out of
poverty,” she said in a statement. "We look forward to a quick decision so that
the dignified pay rate that workers deserve to earn is not delayed any more than
necessary.”
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