New York City has recently enacted the law of paranoia intended to contest with food delivery tycoons like UberEats and DoorDash. The New Law is mainly to promote tipping for delivery workers so that the two companies argue that the measure interferes with business and ruins customer relationships thereby infringing on their constitutional rights.

Uber vs DoorDash


A What and Why Uber And DoorDash in the New Tipping Law of NYC

The recent law passed in NYC requires food delivery applications to have an option for visible tip at the start of the checkout procedure. This built-in suggestion is usually defined as being equal to or more than the 10% tip rendering it convenient to the customer to tip. According to city officials, this type of tipping would balance out the earnings among delivery workers and improve the standards of living.


The Law-Against Reason

This law, according to Uber and DoorDash, would amount to coercive speech against the First Amendment. Besides, it is arguing that it is grossly unreasonable for the very law to stipulate the timing of tips, for such is purely a customer affair.

The other strong danger, continuing the same trend, who, under hint of a tip, would not cancel an order since it implies additional cost? Those orders make up a large chunk of their revenue, and cancellation is not good in the long term for the restaurant nor the delivery worker.


Context: The Tipping Law and Delivery Workers

Proponents of this law proclaim that it is indeed in protecting the delivery workers very own spirit. At present, New York City has a minimum hourly wage established for delivery workers... this tipping law is going to clear the ethereal state that some of the workers find themselves in sometimes when some say that without a guaranteed tipping situation, they cannot pay their bills.


Effects of the Case

If any, this war goes beyond Uber and DoorDash. It may set a whole lot of precedent for labor law and digital platform law in the future under the current scenario of gig economy. The laying down of this judgment could either encourage or discourage other cities or states thinking of similar laws.

Uber vs DoorDash


Conclusion

Finally, the argument of Uber and DoorDash against the NYC Tipping Law has become the hottest topic in the gig economy today. The one side advocates making the remuneration structure for delivery workers while the other side is looking towards the companies and their clients: Where are the two strikes?

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