![]() ![]() But it impacts customers who tip with cash, rather than through the app, too. He says his acceptance rating, too, has dropped under this model. Louis dasher, he says he rejects orders with a low base pay in favor of waiting for something better to come along. Immediately after getting the new pay model in his market, however, he said he could pull in anywhere from $7 to as high as $17 per dash, a significant jump from dashes that averaged around $5. He estimates his average expected earnings had fallen by about 50 percent. One dasher in the East Valley Phoenix market who’s been with the company for years says he’s watched a gradual decline in expected earnings over the time he’s worked for the company. ![]() One former courier for the company, who spoke on the condition of anonymity to avoid jeopardizing his other gig work, said that while the announcement seemed like “a step in the right direction for DoorDash to pay drivers to do the job they were assigned, it would be foolish to think that these changes stem from DoorDash’s desire for altruism.”ĭashers in a private support group who have tried the new system seemed split on whether they love it or hate it, but those who seem to like it say that rather than accepting $2 to $4 dashes, they instead decline low-paying dashes until a better one comes along, thus earning higher guaranteed pay while causing their acceptance rate to plummet. Plus, due to the nature of the work, and because they are independent contractors, dashers also need to consider additional costs like wear and tear on their vehicles, insurance, and other expenses. One dasher said that while the promise of a new and improved pay model looked good on paper, he was “waiting to see what kind of tricks they’re going to pull.” This dasher told Gizmodo that he worried that in his market, where the estimated average base wage was around $4 or $5 per dash, he would see his normal earnings halved to $2-a wage that hardly justifies gas in the event that a customer doesn’t tip or tips poorly. Xu said in the August blog post that deliveries “that are expected to take more time, that require Dashers to travel a longer distance, and that are less popular with Dashers will have higher base pay.”Ĭurrent and former dashers who spoke with Gizmodo following the announcement were understandably skeptical about these lofty assurances of more money. The range in base wage, from $2 up to $10, would be determined based on various metrics like delivery duration and “desirability,” according to the company. ![]() With regard to tips, the new model would include them in addition to base pay rather than in place of any amount above $1. After all, when customers tip, they reasonably assume that tip is something extra that the worker will earn in addition to-rather than instead of-their base income.Īccording to Xu, DoorDash’s new wage model would be made up of a base pay-the guaranteed amount DoorDash would pay for the delivery-customer tips, and any promotional bonuses (like “peak pay,” a bonus paid to deliver during specific hours, or so-called “challenges” and earning a “top dasher” distinction). So, while the dasher did, technically, get to keep 100 percent of their tips, as the company messaging went, they also dictated how much DoorDash was on the hook for in terms of per-delivery payouts and limited the ability of dashers to earn tips on top of what DoorDash paid them.ĭashers regularly lamented their frustration with this system through public and private channels, particularly as many customers seemed unaware that their tips were making up a part of a worker’s wage rather than supplementing it. Here’s how DoorDash managed to pull off its old scheme: If the promised amount for a particular dash was, say, $7, and a customer tipped $5 on the order, DoorDash would apply that tip toward the promised wage and pay the difference, just $2. (Customers can, however, manually enter “0” to leave no tip or tip in cash.) Under DoorDash’s old system, and depending on whether and how much someone tipped, the company could get away with paying its couriers as little as $1 per order while customers’ in-app tips paid the remainder of workers’ promised wages. ![]() On the checkout screen, users are prompted either to tip with a pre-filled dollar amount or, in some cases, a percentage of the total. If you’ve ordered through DoorDash before, you’re probably familiar with the tipping system baked into the app. ![]()
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