App-based food and grocery delivery workers in New York City are entitled to a minimum pay rate set by the NYC Department of Consumer and Worker Protection. As of April 1, 2025, the required minimum pay rate is $21.44 per hour, excluding tips. That rate increases to $22.13 per hour effective April 1, 2026, and is subject to annual adjustment. If you are not receiving at least the required minimum pay for covered time, an experienced wage and hour attorney can protect your rights and help you recover back wages.
How Does the $21.44 and $22.13 Minimum Pay Rule Work?
New York City established a Minimum Pay Rate for app-based restaurant and grocery delivery workers. This rule applies to workers who deliver food or groceries through covered platforms operating in NYC.
As of:
- April 1, 2025: Minimum Pay Rate is $21.44 per hour
- April 1, 2026: Minimum Pay Rate increases to $22.13 per hour
The rate applies before tips. Customer tips do not count toward the required minimum.
The Minimum Pay Rate is calculated based on a formula established by the NYC Department of Consumer and Worker Protection. Platforms may comply using different methods, but the total pay must meet or exceed the required hourly minimum for compensable time.
What Time Counts Toward the Minimum Pay Requirement?
The way time is calculated depends on the platform’s chosen pay method. Under current NYC rules, platforms may compensate workers either for “active time” or for total time logged into the app, depending on the compliance structure they use.
Active time typically refers to the period between accepting a delivery request and completing it. Some workers are paid only for this active period. Other compliance models calculate pay across total online time. If your total compensation per compensable hour falls below the required hourly rate, the platform may owe you additional pay.
How Can Delivery Workers Tell If They Are Underpaid?
To determine whether you are being paid correctly:
- Review your weekly pay statements in the app.
- Identify how many hours were counted as compensable time.
- Divide your total base pay by the compensable hours.
- Compare the result to the required rate for that time period.
If the calculated hourly rate falls below $21.44 for periods before April 1, 2026, or below $22.13 for periods after April 1, 2026, you may be underpaid. Workers should also confirm that tips were not improperly included in meeting the minimum pay requirement.
What Additional Protections Apply to App-Based Delivery Workers?
NYC law provides additional protections beyond the minimum pay rate, including:
- Payment within seven calendar days after the end of a pay period
- Transparent pay statements explaining how compensation is calculated
- Tip transparency requirements
- Protection against retaliation for asserting wage rights
These rules apply regardless of whether you are labeled an independent contractor. Platforms cannot avoid compliance by contract language alone.
Why Some Delivery Workers Still Experience Underpayment
Even with the Minimum Pay Rate in place, underpayment issues may arise due to:
- Incorrect calculation of compensable time
- Failure to adjust pay after rate increases
- Platform errors in accounting for multi-app use
- Incomplete or unclear pay statements
Some workers also report confusion about how promotions, bonuses, or adjustments are applied. The key legal question remains whether total pay meets or exceeds the required minimum for covered time.
What Should You Do If You Think You Are Underpaid?
If you suspect underpayment:
- Take screenshots of weekly pay summaries
- Record the number of hours logged and active time
- Compare your effective hourly rate to the required rate
- Preserve communications from the platform
- Consider speaking with an employment attorney to evaluate your claim
Workers may file complaints with the NYC Department of Consumer and Worker Protection or pursue claims to recover unpaid wages and applicable damages.
Legal Help for NYC App-Based Delivery Workers
App-based pay structures can be complex, and platforms may use different models to calculate compensation. At Lipsky Lowe, we represent NYC service and delivery workers in wage claims involving minimum pay violations, misclassification, and retaliation. If you believe you have not been paid correctly under NYC’s Minimum Pay Rate, contact us today for a confidential consultation.
About the Author
Douglas Lipsky is a co-founding partner of Lipsky Lowe LLP. He has extensive experience in all areas of employment law, including discrimination, sexual harassment, hostile work environment, retaliation, wrongful discharge, breach of contract, unpaid overtime, and unpaid tips. He also represents clients in complex wage and hour claims, including collective actions under the federal Fair Labor Standards Act and class actions under the laws of many different states. If you have questions about this article, contact Douglas today.
