Gig delivery workers for Instacart, DoorDash, and other apps look to win first-in-the-nation hazard pay law
Hazard pay ordinance to be voted at 2pm meeting today, two weeks after council vote to pass groundbreaking sick days law for gig workers
Gig delivery workers have been officially “essential” since the COVID crisis began, but the multi-billion-dollar companies they work for aren’t providing them the essential protections they need to stay safe, stay healthy, and have basic economic security. That could begin to change with a Seattle City Council vote set for 2:00pm today on an emergency ordinance (CB 119799) that would require food delivery companies to provide gig workers hazard pay for each essential delivery they complete during this crisis.
Food delivery companies pay as little as $2 a delivery — far less than Seattle’s minimum wage. In fact, pay is so low that many of Seattle's food delivery workers themselves struggle to cover basic expenses, including food. Survey data from before the COVID crisis found that:
62% of gig workers have reported they had less than $100 in their bank account at some point during the past year.
36% of gig workers have reported they are sometimes unable to afford groceries and other basic items.
About 20% of food delivery workers rely on food stamps or other public assistance to support themselves.
And while delivery apps have boomed during the crisis as customers choose to stay home and stay healthy, the people doing the work have not seen any additional pay for the added risk they are taking on. In fact, some companies have taken advantage of the economic crisis by driving low pay down even lower. workers have been left with additional expenses to protect their health — purchasing masks, gloves, and sanitizer on their own dime, and spending extra time cleaning vehicles and materials between deliveries, reducing earnings even further.
Earlier this month, workers won a first-in-the-nation City ordinance guaranteeing paid sick leave for gig delivery workers during the pandemic , an important step for workers’ rights and public health. Today’s vote on hazard pay would be a critical next step to ensure essential workers in our city are receiving the essential protections they deserve. Ultimately, gig workers are calling for the establishment of a permanent pay standard across the industry which ensures workers receive at least minimum wage plus expenses, with tips on top, and pay transparency.
Note: this legislation is an emergency ordinance that requires the support of seven Councilmembers and the Mayor’s signature. The Council meeting will be broadcast online by the Seattle Channel.
More information:
Major grocery delivery platforms operating in Seattle include Instacart, Shipt, TaskRabbit, Amazon Fresh, and Dumpling.
Major restaurant delivery platforms include DoorDash, Uber Eats, Postmates, Caviar, and GrubHub.
The delivery business is booming. Last week alone:
Instacart last week received a new $225 million investment due to “an unprecedented surge in customer demand,” and is now valued at $14 billion.
DoorDash revealed they are about to close a deal to secure $300 million from investors, increasing the company’s valuation to $15 billion as delivery demand rises due to the pandemic.
Grubhub has merged with a European competitor in a $7.3 billion deal, creating one of the world’s largest delivery companies.
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Contact: Sage Wilson, Working Washington: sage@workingwa.org