In New York, in July 2023, an hourly minimum wage was established for people working as suppliers for Platforms. It was supposed to be $17.96. The Platforms immediately reacted to this decision: they appealed the decision to the courts. At the same time, they started a campaign threatening that this rate would destroy their profits, so they would go bankrupt or simply withdraw from the market. The case was presented as a restriction of economic freedom and as a planned liquidation of a socially useful food delivery service.
However, the Platforms lost the court case and the stake became law.
One year after its establishment, the earnings of people working as suppliers to the Platforms were examined. Currently, the average hourly wage is $19.26 (including tips, which have dropped dramatically due to the lockout of this option in apps).
Commenting on this increase, New York Mayor Eric Adams said: “I’m pleased (…) that thanks to our implementation of the minimum wage rule, workers are earning 64% more than at the same time last year.” He added: “The data confirms what we know: When workers succeed, New York succeeds.”
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