Legal Battle Erupts as Food Delivery Giants Challenge NYC's Minimum Pay Law
A Manhattan judge has temporarily halted the implementation of a minimum wage law for delivery workers in New York City, following a lawsuit filed by DoorDash, Grubhub, Uber, and Relay. The law would require these app-based delivery companies to pay their workers $17.96 per hour, significantly higher than the current estimated rate of $11 per hour. The companies argue that the law would increase costs for consumers and potentially drive away business, while also claiming bias in the rulemaking process. The implementation of the new pay rate is now uncertain.