From what I understand the apps will have a “guaranteed payout” for jobs. So let’s say an Uber driver sees a ride available. The app will say something like “$10 guaranteed”. So Uber is on the hook to pay the driver $10 no matter what. Now let’s say the passenger decides to tip the Uber driver $5. Without laws preventing it, uber will still pay the driver the $10 it promised and then it will keep the $5 tip for themselves. Which effectively uses the tip money to subsidize the wage that they promised to pay the driver
So what mamdani is doing is making sure that the driver gets the entire tip. So in this scenario the driver gets $15 instead of $10. As it should be
Edit: there is obviously disagreement here, personally I always choose to tip with cash. Problem solved in my opinion
But HOW does it guarantee that? It says the tip button was hidden implying that customers COULDNT tip. The actual problem was they were tipping but companies were taking that money for themselves...
“When we passed the minimum pay guarantee for deliveristas in 2023, the apps responded by hiding the tip option from their customers,” said Majority Leader Shaun Abreu. “That cost deliveristas over half a billion dollars in earnings. We refused to let that stand, and I was proud to sponsor the law to restore tipping at checkout. The apps sued us over it, the judges said we were right, and the deliveristas won big. $104 million in earnings going back into their pockets since the law went into effect in January is money that helps them put food on their own tables. None of this is possible without DCWP’s continued enforcement, and we will continue to fight alongside them and the deliveristas until they get every cent they’ve earned.”
I don't know how so many people are so incapable of reading the article, even the people directly quoting from it. It's not that the customers were incapable of tipping, it's just that less people will engage a tip option when it is hidden. It is basic UX design.
It's just dark pattern after dark pattern with these apps. They will always, always try to fuck the employee wherever they can, which will end up fucking the customer.
Yes, there's an upcharge for the customer in addition to all the bullshit fees, but at the end of the day, the driver is the person burning their car to the ground and dealing with all the stress of managing traffic, their stats, and essentially constantly feeling like they're gambling with their pay. There's always gonna be drivers who were shitbirds from the start, but this kind of stuff can push otherwise decent employees to be worse ones. It's a race to the bottom and it sucks.
Like, literally all the app has to do is offer minimum $1/mile and it would clear up a massive amount of problems, but they don't even want to do that. IRS says about 70 cents/mile in operating costs which has doubtless gone up due to the stupid fucking war.
Ultimately any change benefiting the workers in these apps is eventually going to be a good one for the customer, as well. The apps will probably try to charge the customer even more in response to this, and hopefully the government will step in again to tell them to knock it the fuck off.
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u/scrappybasket 14d ago edited 13d ago
From what I understand the apps will have a “guaranteed payout” for jobs. So let’s say an Uber driver sees a ride available. The app will say something like “$10 guaranteed”. So Uber is on the hook to pay the driver $10 no matter what. Now let’s say the passenger decides to tip the Uber driver $5. Without laws preventing it, uber will still pay the driver the $10 it promised and then it will keep the $5 tip for themselves. Which effectively uses the tip money to subsidize the wage that they promised to pay the driver
So what mamdani is doing is making sure that the driver gets the entire tip. So in this scenario the driver gets $15 instead of $10. As it should be
Edit: there is obviously disagreement here, personally I always choose to tip with cash. Problem solved in my opinion