DoorDash, Uber Sue NYC Over Upfront Tips Prompt Mandate

Bloomberg TechnologyThursday, December 11, 2025 at 6:51:35 PM
NegativeTechnology
DoorDash, Uber Sue NYC Over Upfront Tips Prompt Mandate
  • DoorDash Inc. and Uber Technologies Inc. have filed a lawsuit against New York City to challenge a mandate requiring delivery services to display tipping options at checkout, with a minimum of 10%. The companies argue that this could lead to increased financial strain on consumers already facing inflation.
  • This legal action is significant for DoorDash and Uber as it addresses concerns over consumer behavior and potential declines in service usage due to perceived high costs. The companies fear that mandatory tipping could deter customers from using their platforms.
  • The lawsuit reflects a growing tension between gig economy companies and regulatory bodies, as similar legal challenges arise from other firms like Instacart, which also contests New York's labor laws. This ongoing conflict highlights the broader debate over the gig economy's operational viability amid increasing regulatory scrutiny.
— via World Pulse Now AI Editorial System

Was this article worth reading? Share it

Recommended apps based on your readingExplore all apps
Continue Readings
DoorDash, Uber Deprive Drivers $550 Million in Tips, NYC Says
NegativeTechnology
DoorDash Inc. and Uber Technologies Inc. have been accused by New York City of depriving delivery workers of over $550 million in tips due to changes in their app interfaces, as reported by a city agency. The findings suggest that these modifications have significantly impacted the earnings of delivery personnel in the city.

Ready to build your own newsroom?

Subscribe to unlock a personalised feed, podcasts, newsletters, and notifications tailored to the topics you actually care about