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August 21, 2019 11:30 pm

DoorDash Still Pockets Workers' Tips Almost a Month After It Promised To Stop

DoorDash, the leading food delivery app in the U.S., is still pocketing workers' tips, despite announcing last month that it would stop the practice and change its tipping policies. The announcement was made after a report from The New York Times highlighted how the company uses tips to make up the worker's base pay -- essentially stealing the money you're trying to give someone to maximize their profits. Vox reports: At the time, CEO Tony Xu announced in a series of tweets that DoorDash would institute a new model to ensure workers' earnings would "increase by the exact amount a customer tips on every order." Xu promised to provide "specific details in the coming days." The next day, Xu sent out a note to DoorDash workers, broadly outlining changes and letting them know âoewhat to expect in the days ahead." But 27 days later, current DoorDash workers tell Recode that the company's pay and tipping policies have stayed the same. The company has not made any public statements about its worker pay and how it plans to institute the changes, nor has it offered a specific date when it will fulfill its promise. A spokesperson declined to comment about the company's plans to change its tipping policy. Soon after DoorDash's years-long tipping scheme was mentioned in the NYT's report, a class-action lawsuit was filed against the company for misleading its customers about how their tips were used. The lawsuit, filed at the end of July, claims that DoorDash failed to make clear to its customers that tips they gave through its app to couriers were not being allocated as they were intended to be, and that had customers known this, they would not have tipped through the app.

Read more of this story at Slashdot.


Original Link: http://rss.slashdot.org/~r/Slashdot/slashdot/~3/IGM7xYWInE0/doordash-still-pockets-workers-tips-almost-a-month-after-it-promised-to-stop

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