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New Tipping Laws Generate over $100 Million for Delivery Drivers Across NYC

New city report announces effects of 2026 local laws 107 and 108 on app-based delivery workers.
deliverydrivers100m
Mayor Zohran Mamdani at delivery workers press conference on July 29, 2026.

The New York City Mayor’s Office and New York City’s Department of Consumer Protection Commissioner announced that $104 million dollars have been made for delivery workers since the passing of local laws 107 and 108 in a press release on Wednesday.

The protections, which took effect in late January of 2026, mandate that apps offer customers more transparent tipping options of at least 10% immediately upon order placement. Since taking effect, the city’s estimated 70,000 app-based delivery workers are each expected to earn an average of $2,287 more per year.

“For years, delivery apps buried the tip button to pad their own bottom line, and delivery workers paid the price,” said New York City Mayor Zohran Mamdani. “New York will not allow billion-dollar tech companies to boost their profits by taking money from working people.”

Large scale delivery services such as Uber Eats and DoorDash have attempted to bypass minimum wage laws by making the tipping process more difficult for customers since 2023, reported Documented.

The Department of Consumer and Work Protection reports that the app’s design for tipping had caused the average tips to go from $3.66 per order to $0.93 and had caused a loss of $554 million in tips earnings for drivers.

In the four weeks before laws were changed, workers were earning $1.18 per delivery on average. During the four weeks after implementation, average tips were $2.29 per delivery. Workers are on track to earn more than $184 million in tips this year.

“The data is clear,” said DCWP Commissioner Samuel A.A. Levine. “Allowing consumers the clear ability to tip hardworking deliveristas benefits our workers and strengthens our economy.”

“A city is judged by how it treats people who do its hardest work,” said Assemblyman Charles D. Fall. “Delivery workers have shown up for New Yorkers through every season, every storm, and every hour of the day.”

 




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