A December law raising pay to nearly $20/hour increased pay significantly for delivery workers, despite working 22% fewer hours, and resulted in 42% more earnings than the previous year.
The number of active worker accounts on delivery apps decreased by 8% from the previous quarter and 9% from a year ago, indicating a significant loss of employment post the wage hike law.
Food delivery costs have surged by 10%, with a 58% increase in the fees apps charge to cover the higher wages, leading to customers tipping less and using the apps less frequently for delivery.
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