DoorDash has agreed to pay $16.8 million in restitution to approximately 63,000 workers after it was revealed the company had pocketed customer tips during its early operations. The practice, which lasted over two years, involved DoorDash using customer tips to offset its guaranteed payments to Dashers, leaving workers undercompensated. Following public backlash, DoorDash ended the policy in 2019. The settlement, announced by New York Attorney General Letitia James, follows similar agreements in Washington, D.C., and Illinois. Workers will receive payouts ranging from the low thousands to as much as $14,000. The attorney general’s office criticized the lack of transparency, noting that details about the tip reallocation were hidden in fine print. — news from The New York Times
