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THE CITY RECORD

c A third-party food delivery service or third-party courier service must pay, in aggregate, to the food delivery workers who engaged in trip time or on-call time in a pay period no less than the sum of all such food delivery workers trip time and on-call time in that pay period multiplied by the following minimum pay rates:
i $17.87 per hour, on or after January 1, 2023;
ii $17.87 per hour, adjusted for inflation, on or after April 1, 2023;
iii $20.25 per hour, adjusted for inflation, on or after April 1, 2024, and iv $23.82 per hour, adjusted for inflation, on and after April 1, 2025.
d A third-party food delivery service or third-party courier service may fulfill its obligation under subdivision b and subdivision c of this section using any method it chooses, including paying an hourly rate, a per-trip rate or other piece rate, a bonus or other lump-sum payment, or by any other method.
Example: In a pay period that ends on October 25, 2023, 10,000
food delivery workers, in aggregate, engage in 200,000 hours of trip time and 50,000 hours of on-call time. Worker A, individually, engages in 30
hours of trip time and 5 hours of on-call time.

k Beginning with the minimum payment rate effective April 1, 2026, and continuing each calendar year thereafter, the Department shall post the inflation-adjusted minimum payment rates required by 7810biv and 7-810civ on its website on or before the first day of February of the calendar year in which the rate will take effect. Such inflation adjustments will be performed by multiplying the current minimum payment rate by the most recent December to December percent change in the All Items Consumer Price Index for Urban Wage Earners and Clerical Workers for the NY-NJ-PA metro area, provided that if the percentage change is zero or negative, the adjustment shall be zero.
l If the minimum pay rate under Section 7-810 takes effect or changes during a pay period, the prior rate, if any, shall apply to a food delivery workers trip time or on-call time that occurred before the new rate took effect and the new rate shall apply to a food delivery workers trip time or on-call time that occurred after the new rate took effect.
m For purposes of the timely minimum pay requirement of Section 20-1208a3c of the Administrative Code, payments required under this section shall be made as set forth in section 7-807.
NEW YORK CITY LAW DEPARTMENT
DIVISION OF LEGAL COUNSEL
100 CHURCH STREET
NEW YORK, NY 10007
212-356-4028

Payment Method 1: The third-party food delivery service pays its food delivery workers a combination of per-trip payments and end-of-week bonuses. The third-party food delivery service meets the requirements of both subdivision b and subdivision c of this section if it pays its food delivery workers as follows:
1. Each food delivery worker is paid at least an amount equal to their trip time multiplied by $17.87. For instance, worker A receives at least $536.10, which is $17.87 multiplied by 30 hours; and 2. The total per-trip payments and bonuses the third-party food delivery service pays in the pay period meets or exceeds the aggregate amount of trip time and on-call time 250,000 hours multiplied by $17.87, which equals $4,445,000. Worker As payment of at least $536.10 for trip time is credited towards the obligation and Worker A may, or may not, receive an additional payment.
Payment Method 2: The third-party food delivery service pays a fixed hourly rate of $17.87 per hour to each of the 10,000 food delivery workers for trip time and on-call time. The third-party food delivery service meets the requirements of both subdivision b and subdivision c of this section if it pays its food delivery workers as follows:
1. Worker A receives $625.45, which is $17.87 multiplied by 35 hours;
and 2. The total hourly pay issued to all 10,000 food delivery workers for 250,000 hours of trip time and on-call time is $4,467,500.
e For purposes of subdivisions b and c of this section, a third-party food delivery service or third-party courier service must calculate time to the nearest whole minute worked.
f A third-party food delivery service or third-party courier service may not use gratuities paid to a food delivery worker to offset such thirdparty food delivery service or third-party courier services obligation to pay food delivery workers the full amounts required by subdivisions b and c of this section.
g A third-party food delivery service or third-party courier service may not use amounts paid to a food delivery worker for trips with a pickup and drop-off location outside of New York City or performed prior to January 1, 2023 to offset such third-party food delivery service or third-party courier services obligation to pay the full amounts required by subdivisions b and c of this section.
h The Department shall perform the inflation adjustments required by 7-810bii and 7-810cii by multiplying $17.87 by the percent change in the All Items Consumer Price Index for Urban Wage Earners and Clerical Workers for the NY-NJ-PA metro area between June 2022
and December 2022, provided that if the percentage change is zero or negative, the adjustment shall be zero. The Department shall post the Consumer Price Index adjusted minimum payment rates on its website on or before the first day of February 2023.
i The Department shall perform the inflation adjustments required by 7-810biii and 7-810ciii by multiplying $20.25 by the percent change in the All Items Consumer Price Index for Urban Wage Earners and Clerical Workers for the NY-NJ-PA metro area between June 2022
and December 2023, provided that if the percentage change is zero or negative, the adjustment shall be zero. The Department shall post the Consumer Price Index adjusted minimum payment rates on its website on or before the first day of February 2024.
j The Department shall perform the inflation adjustments required for April 1, 2025 by 7-810biv and 7-810civ by multiplying $23.82
by the percent change in the All Items Consumer Price Index for Urban Wage Earners and Clerical Workers for the NY-NJ-PA metro area between June 2022 and December 2024, provided that if the percentage change is zero or negative, the adjustment shall be zero. The Department shall post the Consumer Price Index adjusted minimum payment rates on its website on or before the first day of February 2025.

WEDNESDAY, NOVEMBER 16, 2022

CERTIFICATION PURSUANT TO
CHARTER 1043d RULE TITLE: Calculation of Minimum Pay for Food Delivery Service Workers REFERENCE NUMBER: 2022 RG 076
RULEMAKING AGENCY: Department of Consumer and Worker Protection I certify that this office has reviewed the above-referenced proposed rule as required by section 1043d of the New York City Charter, and that the above-referenced proposed rule:
i
is drafted so as to accomplish the purpose of the authorizing provisions of law;

ii
is not in conflict with other applicable rules;

iii to the extent practicable and appropriate, is narrowly drawn to achieve its stated purpose; and iv
to the extent practicable and appropriate, contains a statement of basis and purpose that provides a clear explanation of the rule and the requirements imposed by the rule.

/s/ STEVEN GOULDEN
Acting Corporation Counsel
Date: November 2, 2022

NEW YORK CITY MAYORS OFFICE OF OPERATIONS
253 BROADWAY, 10th FLOOR
NEW YORK, NY 10007
212-788-1400
CERTIFICATION / ANALYSIS
PURSUANT TO CHARTER SECTION 1043d RULE TITLE: Calculation of Minimum Pay for Food Delivery Service Workers REFERENCE NUMBER: DCWP-26
RULEMAKING AGENCY: Department of Consumer and Worker Protection I certify that this office has analyzed the proposed rule referenced above as required by Section 1043d of the New York City Charter, and that the proposed rule referenced above:
i
Is understandable and written in plain language for the discrete regulated community or communities;

ii
Minimizes compliance costs for the discrete regulated community or communities consistent with achieving the stated purpose of the rule; and
iii Does not provide a cure period because it does not establish a violation, modification of a violation, or modification of the penalties associated with a violation.
/s/ Francisco X. Navarro Mayors Office of Operations
November 3, 2022
Date

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