DoorDash, Uber Cost Drivers $550 Million in Tips, NYC Says (1)

DoorDash Inc. and Uber Technologies Inc. have deprived New York delivery workers of more than $550 million in tips after changing the interfaces on their apps, according to findings released in a report from a city agency.

Mayor Zohran Mamdani’s administration said the companies moved tipping prompts to less prominent locations in their apps after new pay standards for delivery workers took effect in December 2023. At the time, the apps raised customers’ service fees to subsidize the new pay rate and moved the in-app tipping function to after checkout so that the upfront delivery costs would seem lower. ...