DoorDash and Postmates have paid more than $350,000 in restitution to drivers after Seattle’s hazard pay mandate went into effect this summer, reports Eater. The mandate, which was passed by Seattle lawmakers in June, helps gig workers receive extra money as economic protection during the COVID-19 pandemic. Drivers for food app delivery services are supposed to get an extra $2.50 per order on top of their usual pay.
Fines for noncompliance can be up to $546.07 per “aggrieved party” for a first offence and go up from there.
In this case, the restitution is not due to penalties or fines, but part of an agreement made between the Seattle Office of Labor Standards and the two companies after drivers let the department know there was possible non-compliance.
“After receiving calls from gig workers, OLS contacted the companies, informing them that if the companies resolved issues regarding premium pay and paid workers back pay and interest by a certain date, OLS would forego a formal investigation,” said OLS communications manager Cynthia Santana. “Both companies complied, conducted an internal audit, which identified various problems, and promptly paid the workers back pay and interest. We received proof of compliance from both hiring entities.”
According to the report, Eater reached out to both DoorDash and Postmates for comment on the recent payments and internal audit, but did not hear back before the time of publishing. Full Story
Related: Portland Approves Cap for Delivery Service Fees; San Francisco DA Files Suit Against DoorDash.
Photo credit: Postmates
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