New report shows workers are on pace to earn $184 million more in tips annually following aggressive City enforcement against deceptive Big Tech app practices
Today, Mayor Zohran Kwame Mamdani and New York City Department of Consumer and Worker Protection (DCWP) Commissioner Samuel A.A. Levine released a new report showing the City’s crackdown on deceptive tipping practices by app-based delivery platforms has secured an estimated $104 million in additional tips for delivery workers since January.
Since the City began enforcing new tipping protections on January 26, 2026, tips have doubled, and the city’s approximately 70,000 app-based delivery workers are on pace to earn an additional $184 million annually in tips, or about $2,287 more each year for the average worker.
“For years, delivery apps buried the tip button to pad their own bottom line, and delivery workers paid the price,” said Mayor Mamdani. “We changed the law, enforced it, and it's working: $104 million has gone back into the pockets of the workers who keep this city fed, rain or shine. New York will not allow billion-dollar tech companies to boost their profits by taking money from working people.”
“When a customer leaves a tip, that money belongs to the delivery worker, not to the app,” said Deputy Mayor for Economic Justice Julie Su. “It belongs to the worker who carried our food up four flights of stairs or biked through the rain to make sure dinner arrived at your door. Since January, delivery workers across New York City have earned $104 million more because we made these companies play by the rules. We're not done. We'll keep enforcing this law and keep going after any platform that tries to shortchange its workers.”
“New York is a city that tips—and I don’t just mean OG Anunoby’s game winner at the Garden. The data is clear: allowing consumers the clear ability to tip hardworking deliveristas benef
The report highlights the impact of the Mamdani administration’s efforts to enforce New York City’s Delivery Worker Laws and curb industry practices that reduced delivery workers’ earnings by an estimated $550 million in tips. It also demonstrates that stronger worker protections can increase earnings while maintaining consumer demand for food delivery.
Protecting Delivery Workers’ Tips
When New York City’s historic minimum pay standard for 70,000 app-based delivery workers took effect in December 2023, major tech platforms like Uber Eats and DoorDash responded by hiding tipping menus. DCWP estimates those changes cost workers an estimated $550 million in tips. Since January 26, 2026, delivery apps operating in New York City have been required to provide customers with a clear tipping option at checkout, including a selectable 10% tip, a custom tip amount, or the option to leave no tip.
Report Highlights
Tips per Delivery at Restaurant Delivery Apps Before and After DCWP Tipping Law:
- During the four weeks before the law took effect, deliver workers earned an average of $1.18 per delivery. During the four weeks after implementation, average tips increased to $2.29 per delivery, an increase of $1.11 per trip.
- The new tipping requirements had no measurable impact on demand for food delivery. Customers continued placing record-high numbers of orders on apps, with 3.3 million orders placed each week. That is 700,000 more weekly orders than in December 2023, when the City first began enforcing the minimum pay standard.
- Since December 2023, delivery workers’ total hourly earnings -- including pay and tips -- have increased from $10.48 per hour to $27.32 per hour, an increase of $16.84 per hour, or 161%.
- To date, New York City’s minimum pay standard has resulted in more than $2 billion in additional earnings for delivery workers.
Delivery workers can learn more about their rights under Delivery Worker Laws at nyc.gov/deliveryapps. Delivery workers who believe a restaurant or grocery delivery app has failed to pay the required minimum rate of $22.13 per hour, excluding tips, for time spent preparing or making deliveries are encouraged to file a complaint at nyc.gov/workers.











