Seattle Becomes First City to Set Minimum Wage Requirements for DoorDash, GrubHub Delivery Drivers

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After a new ruling was passed on May 31, Seattle will become the first city to set a minimum wage for app-based delivery drivers. The Seattle Times reported that the Seattle City Council unanimously passed the “Pay Up” bill, raising the minimum wage for these workers in 2023 to $17.27 per hour.

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“We live in an expensive city; many delivery workers earn below the minimum wage after expenses and tips are accounted for,” said Lisa Herbold, one of the council members behind the bill, in a statement, Business Insider reported. 

“The passage of this legislation will help tens of thousands of delivery workers make ends meet while maintaining their flexibility,” Herbold added.

After being in the works for about a year, The Seattle Times says that the Pay Up bill requires companies to pay per-minute and per-mile rates to delivery drivers on apps like DoorDash, Uber Eats and Grubhub as soon as they accept an order.

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This bill is just the beginning. The Seattle Times noted that future legislation aims to regulate deactivation from apps and establish discrimination protection, restroom access, and other labor standards. 

App-based delivery drivers typically face large workloads, long hours, safety concerns, confrontational customers and little to no access to restrooms, Business Insider added.

“We know that app-based work is one of the fastest growing sectors in our economy, with more and more workers turning toward this type of work and not receiving the protections of basic labor standards,” Herbold said.

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Fox 29 reported that this legislation will impact about 40,000 people, but gig companies are now worried that increased delivery costs will result in fewer orders.

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About the Author

Josephine Nesbit is a freelance writer specializing in real estate and personal finance. She grew up in New England but is now based out of Ohio where she attended The Ohio State University and lives with her two toddlers and fiancé. Her work has appeared in print and online publications such as Fox Business and Scotsman Guide.

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