DoorDash tries new category of couriers: Employees, not contractors

Future of Work
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Doordash plans to offer certain delivery drivers full health benefits. | Pexels/RODNAE Productions

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DoorDash is trying a different approach to food delivery. It is hiring couriers as employees rather than as independent contractors.

Doordash has hired 60 people through a subsidiary called DashCorps, in the Chelsea neighborhood of Manhattan, Wired reported.

They will make deliveries on electric bicycles within 10-15 minutes of orders, Wired reported. The couriers will be paid $15 an hour and work on average 25 hours a week, the publication reported. Bicycles are provided, as are helmets, jackets and other equipment needed for delivery work.

Couriers who work full time will be eligible for medical, dental and vision insurance and will earn paid time off, Wired said.

Currently, 90% of freelance DoorDash couriers work fewer than 10 hours per week, Max Rettig, the company’s vice president of global policy, told Wired.

They don't get health insurance, workers’ compensation, paid time off, and are not eligible for unemployment benefits, the story said. They have to provide their own equipment, including bags to keep the food warm, and they usually aren't paid for time spent waiting for new orders to come in over the app.

Some observers are underwhelmed by the new category of courier.

“[Companies are] pushing the workers to move faster to deliver something in less than 15 minutes. It’s dangerous," Gustavo Ajche, leader of  Los Cyclistos Deliveristas Unidos, which represents 4,000 mostly Central American and Mexican immigrants who work as couriers in New York City who deliver for app-based services, told Wired.

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