Increased hourly rates corresponded with lower tips and fewer orders to share between drivers, leaving gig workers no better off than they were before the law passed.
In 2022, Seattle became one of the first cities in America to pass a minimum wage law for food delivery drivers. The law went into effect in 2024, and the results were nothing short of calamitous. Food orders plunged to unprecedented lows, delivery costs exploded, and driver earnings appeared to crater.
Now, new research on Seattle's delivery driver minimum wage ordinance shows that the law had no long-term effect on driver wages. And yet, Seattle's city council shows no signs of changing course, even with higher consumer costs and zero growth in driver pay.
Seattle's delivery minimum wage currently sits at over $26 per hour—higher than the city's general minimum wage, which will reach $21.30 in January 2026. In the first few weeks after the new minimum wage was enacted, DoorDash reported a decline of 30,000 orders, while UberEats saw a 30 percent drop in order volume. Reports indicated that drivers were earning less than half of what they had prior to the ordinance's passage.
Continue reading the entire piece here at Reason
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C. Jarrett Dieterle is a legal policy fellow for the Manhattan Institute.
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