The INSIDER Summary:
• New York City's food delivery workers are often underpaid. Many rely on tips.
• The general rule: Tip $5 or 20% of the total order cost, whichever is more.
• Tip more during bad weather and whenever you place a large, complicated order.
• Finally, do a little digging to find out if your favorite takeout spots are mistreating workers.
Ordering delivery is a way of life for New Yorkers. Our kitchens are small, our time is short, and we've got a city full of restaurants that offer cheap meals and straight-to-your-door delivery service.
But the workers who make those deliveries often face appalling working conditions.
INSIDER recently spoke with delivery workers, lawmakers, lawyers, and activists and learned that many of the city's restaurant delivery workers are still overworked and underpaid. They say they're often forced to purchase and maintain their own bikes (even if they're used exclusively for work). They work shifts as long as 12 hours. They frequently work for less than minimum wage with no overtime. In some restaurants, complaining about pay or hours can get them fired.
A series of high-profile lawsuits has helped to raise awareness of these issues. State lawmakers are also working on a bill that would help curtail wage theft in the industry.
But in the meantime, there's one thing all New Yorkers — and anyone who orders takeout food around the country — can do to help workers out:
Tip $5 or 20% of the order, whichever is more.
This is a general rule for tipping when you order delivery. However, there are a few situations when you should tip more.
If you live on the top floor of the building and the worker must climb several flights of stairs, add a dollar or two. You should also increase the tip if your order is large, complicated, or difficult to transport — say, 10 pizzas for a party. And always up the tip during storms: Delivery orders spike when the weather's bad, and biking around the city in snow and rain is dangerous business.
Tipping in cash is best — but apps can be okay, too.
Delivery apps Seamless and Grubhub (they're the same company) make money by collecting a percentage of each order made in the app. For a while, Grubhub's fee was based off the total bill: the cost of food plus any tips made in the app.
That's no longer the case, thanks to a 2014 investigation by New York's attorney general.
The investigation found that Grubhub's fee structure created incentive for bosses to steal in-app tips from employees. (It really did happen, too: In 2012, owners of a Manhattan Indian restaurant were accused of withholding 12 to 15% of tips given to workers in apps.)
In response, Grubhub said it would no longer include in-app tips in its fee structure — so workers get 100% of tips.
Of course, there's always a chance that unscrupulous employers will steal those tips from workers no matter what laws or regulations say. And other popular meal delivery apps (like Yelp's Eat24 and UberEats) have recently faced lawsuits over alleged tip withholding. That's why cash is still the best.
Ask workers how they're treated.
Delivery worker and a Carlos Rodriguez Herrera told INSIDER that the most reliable way to learn about how workers are paid and treated is to ask them directly. Herrera said that owners often lie when customers ask about working conditions. When possible, try to get more information about labor practices at restaurants you frequent.
Read more about the plight of New York City's delivery workers here.
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