October 2025

 

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New York City Expands Minimum Pay Requirement to App-Based Grocery Delivery Workers

11/06/25

Author: ADP Admin/Tuesday, November 4, 2025/Categories: Compliance Corner , State Compliance Update, New York


Highlights

Impacted Employers: App-based grocery delivery services

Effective Dates: Early 2026. See below for details.

Summary: New York City has enacted several bills that provide new protections to app-based grocery delivery workers.

Next Steps: Review the minimum pay protections and employer requirements.

The Details

Background

In 2021, New York City passed legislation that, among other things, required the New York City Department of Consumer and Worker Protection (DCWP) to evaluate pay and working conditions of workers who make restaurant deliveries for a delivery service (this did not include grocery delivery workers).

In June 2023, the DCWP announced a final minimum pay rule, but restaurant delivery apps sued the city, seeking to block the rule. The New York Supreme Court, Appellate Division ruled in favor of the city in November 2023. The city moved forward with fully enforcing the minimum pay rule. On April 1, 2025, the minimum pay rate of $21.44 per hour for contracted restaurant delivery workers took effect. This rate is set to be adjusted in April 2026.

Minimum Pay Rule Extended

On Sept.  10, 2025, the city council voted to override a mayoral veto of Int 1135-2024, extending the minimum pay requirement to grocery delivery workers.

Specifically,  the ordinance will require a covered grocery delivery service to make payments to contracted grocery delivery workers that meet or exceed the minimum pay requirements for contracted restaurant delivery workers (currently $21.44 per hour).

Int 1135-2024 is scheduled to go into effect on the same date as Int 0030-2024, which should take effect in early 2026.

Note: The City may establish a method for applying such minimum pay requirements to app-based grocery delivery workers that is tailored to the circumstances of the workers (including variations in the working conditions of the workers) as compared to the working conditions of restaurant delivery workers.

Other Protections

The City has enacted additional protections for contracted delivery workers (including grocery delivery workers).  See Int 0859-2024 and Int 1133-2024 for details.

Next Steps

Review the changes under the Ordinances, examine minimum wage pay practices, monitor the DCWP’s website for an exact effective date of the minimum pay, and update pay practices accordingly.

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