![]() It's not enough that taxes are even more complicated when you're a self-employed independent contractor. "That's how we're thinking about this moment in time, not a conclusion, but a point of embarkation.While Doordash and other delivery gigs are a great way to bring in some extra cash, at some point, reality hits. We're going to continue to react to their concerns," says Max Rettig, DoorDash's head of policy. We're going to continue to hear what Dashers say they want improved about the platform. But DoorDash is hoping it's taking better steps to have its drivers involved earlier and make sure its communicated clearly in the future. The company says the pay model will always be an ongoing discussion - and it has to be, Xu adds, when you're dealing with people's livelihoods. "Paying me $7 for a Wendy’s run and paying me $8 for a Starbucks run is hard." "I think it’s a tough model to sustain," he says. As a result, he's much less worried about DoorDash paying him $1 in some cases compared to whether it can continue to afford to pay as much as it does in no-tip cases when DoorDash is paying the entirety. He argues there's no way DoorDash could afford its guaranteed rates unless tip was factored in because the $7 or $8 it offers for some runs is above what all the other delivery companies offer. He's already spoken out as a fan of the pay model, but the biggest problem he's found is just how much other drivers misunderstand it. Josh Roberts, a Charleston, South Carolina-based driver, was one of the drivers who filled out the pay survey and sees the added transparency as a positive change. It's also launching a Dasher Community Council to continue involving drivers in the company's business decisions. "This was somewhat humbling as well, that Dashers didn't care as much about the implementation of the pay model as they did care about getting paid for longer deliveries and long wait times," Xu says.Īs part of the changes, the company says its working to increase guarantees for longer deliveries and offer drivers more deliveries that stay within their preferred zone. The company will continue with its $1 base pay rate plus boost and is looking to find other ways to increase pay for drivers, also called Dashers, by making things like incentives for working busy times more achievable. In its research, DoorDash says that most of the drivers were happy with its pay model since it cuts down on drivers relying on big tippers. "If the customers really knew what was going on, I don't think they would be happy because tips are supposed to be on top of a base pay." (DoorDash didn't run any customer surveys during the time it was evaluating its pay policies and instead focused on the drivers.)ĭoorDash is now giving a detailed pay breakdown per order that shows its base pay contributions. ![]() " is changing the amounts of money that the driver receives based on the amount that the customer tips," she says. Still, Peacock-Gutierrez prefers the delivery networks who count tips separate of pay. But even Postmates changed its model recently and switched to a time and mileage-based system. Other delivery networks, like Postmates, previously used a base pay rate of around $4 per order plus tips. ![]() Peacock-Gutierrez signed up for a campaign called PayUp which advocates for digital delivery companies to pay a minimum of $15 an hour and count tips as bonuses, not part of pay. We don’t know if we’re owed anything or not," says Arden Peacock-Gutierrez, a gig economy worker who drives for companies like DoorDash, Postmates and Caviar in Portland, Oregon. "It makes it more confusing and harder to calculate. In the previous system, DoorDash didn't provide drivers with a clear break down on what its contributions were per order. ![]() However, because gig economy workers are independent contractors and not employees, there's no legal protections for drivers when it comes to their pay. (Some states have their own minimum wage laws, and some have entirely banned tipped wages. If tips don't meet the minimum, then the employer is forced to make up the difference. Restaurants, for instance, are allowed to pay $2.13 per hour instead of the federal minimum wage of $7.25 and have tips make up the difference. It's been fairly standard to have tips make up part of a worker's pay through a federal regulation called sub-minimum wage, or a "tipped wage.". Using tips to subsidize wages isn't a concept made up by DoorDash. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |