New York City announced that DoorDash will pay $131.5 million for violating the city's minimum wage and delivery worker protection laws. The settlement covers late or missing payments, civil penalties, and over $83 million to resolve a dispute over pay calculation for time Dashers spend online between deliveries.

The enforcement action followed a Department of Consumer and Worker Protection (DCWP) investigation based on worker reports. More than 260,000 affected workers will receive over $115 million total, calculated at approximately 200 percent of underpaid amounts.

DoorDash attributed some issues to technical errors, such as deliveries crossing city boundaries or partial cancellations, but also acknowledged violating minimum wage laws. The company said its on-call pay approach was "fair, practical and legal," but chose to follow city guidance rather than litigate.

The settlement includes a three-year compliance monitoring program requiring monthly data sharing and app updates. The Workers' Algorithm Observatory and Workers' Justice Project will build software for workers to track delivery and pay data. DoorDash admitted it "screwed up" regarding late and missing payments.