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DoorDashPaid $16.75M settlement for using tips to subsidize worker pay

· $16.8M

NY Attorney General Letitia James announced a $16.75 million settlement with DoorDash for misleading consumers and delivery workers by using tips intended for Dashers to subsidize their guaranteed pay. Between May 2017 and September 2019, DoorDash used customer tips to offset the base pay it had already guaranteed to workers. Approximately 63,000 New York delivery workers benefited from this settlement.

Scoring Impact

TopicDirectionRelevanceContribution
Gig Worker Rights-againstprimary-1.00
Worker Rights-againstprimary-1.00
Overall incident score =-0.510

Score = avg(topic contributions) × significance (high ×1.5) × confidence (0.68)× agency (negligent ×0.5)

Evidence (2 signals)

Confirms Legal Action Feb 1, 2025 verified

Paid $16.75M settlement for using tips to subsidize worker pay

NY Attorney General Letitia James announced a $16.75 million settlement with DoorDash for misleading consumers and delivery workers by using tips intended for Dashers to subsidize their guaranteed pay. Between May 2017 and September 2019, DoorDash used customer tips to offset the base pay it had already guaranteed to workers. Approximately 63,000 New York delivery workers benefited from this settlement.

Confirms Legal Action Feb 1, 2025 verified

Paid $16.75M settlement for using tips to subsidize worker pay

NY Attorney General Letitia James announced a $16.75 million settlement with DoorDash for misleading consumers and delivery workers by using tips intended for Dashers to subsidize their guaranteed pay. Between May 2017 and September 2019, DoorDash used customer tips to offset the base pay it had already guaranteed to workers. Approximately 63,000 New York delivery workers benefited from this settlement.

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