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Era of Accountability: Mamdani Admin Sues Motoclick and CEO, Warns Delivery Apps to Comply With Worker Protections
New Era of Accountability: Mamdani Administration’s DCWP Sues Motoclick and CEO, Warns Delivery Apps to Comply With Worker Protections
NEW YORK, NY – TODAY a case was filed on behalf of the City of New York in New York State Supreme Court against predatory delivery app Motoclick for egregiously violating the city’s Delivery Worker Laws. Motoclick, which operates a restaurant-facing delivery service, blatantly ignored the Minimum Pay Rate and stole directly from workers’ paychecks, with shocking tactics that include charging workers a $10 fee for canceled orders and deducting the entire cost of refunded orders from workers’ pay – sometimes claiming that workers owed the company money. DCWP estimates that Motoclick and CEO Juan Pablo Salinas Salek owe workers millions in stolen pay and damages and seeks to shut the company down completely.
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Commissioner Levine also today launched a compliance blitz, sending notices to Instacart, DoorDash, Grubhub, Uber, and others warning them to adhere to new Delivery Worker Laws taking effect on January 26. This includes Local Laws 107 and 108, related to tipping protections; Local Law 113 related to delivery worker pay transparency; and Local Laws 123 and 124, related to expanding the minimum pay rate to more delivery workers, timely and weekly payment rights, and improved bathroom access for delivery workers. As a report DCWP released earlier this week revealed, DoorDash and Uber engineered design tricks in their interfaces to lower workers’ tip earnings by $550 million.
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"We know affordability is not just about the cost of goods — it’s about the dignity of work. That’s why we have to make sure our deliveristas have safety on the job, a minimum wage for their work, and tips that go directly to their pockets,” said Deputy Mayor for Economic Justice Julie Su. “Today’s lawsuit against Motoclick is not just an action against one company, it’s a warning to every app-based company from this Administration. You cannot treat workers like they are expendable and get away with it. We will seek full back pay and damages. We will seek full accountability."
“Motoclick and its CEO tricked New Yorkers into working for their platform with false promises and then stole their tips and earnings – sometimes even driving workers into debt.,” said DCWP Commissioner Samuel A.A. Levine. “We are seeking to shutdown this company and other predatory apps should be on notice. If you scam your workers, we will hold you and your executives accountable.”
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https://www.nyc.gov/mayors-office/news/2026/01/new-era-of-accountability--mamdani-administration-s-dcwp-sues-mo
NEW YORK, NY – TODAY a case was filed on behalf of the City of New York in New York State Supreme Court against predatory delivery app Motoclick for egregiously violating the city’s Delivery Worker Laws. Motoclick, which operates a restaurant-facing delivery service, blatantly ignored the Minimum Pay Rate and stole directly from workers’ paychecks, with shocking tactics that include charging workers a $10 fee for canceled orders and deducting the entire cost of refunded orders from workers’ pay – sometimes claiming that workers owed the company money. DCWP estimates that Motoclick and CEO Juan Pablo Salinas Salek owe workers millions in stolen pay and damages and seeks to shut the company down completely.
-snip-
Commissioner Levine also today launched a compliance blitz, sending notices to Instacart, DoorDash, Grubhub, Uber, and others warning them to adhere to new Delivery Worker Laws taking effect on January 26. This includes Local Laws 107 and 108, related to tipping protections; Local Law 113 related to delivery worker pay transparency; and Local Laws 123 and 124, related to expanding the minimum pay rate to more delivery workers, timely and weekly payment rights, and improved bathroom access for delivery workers. As a report DCWP released earlier this week revealed, DoorDash and Uber engineered design tricks in their interfaces to lower workers’ tip earnings by $550 million.
-snip-
"We know affordability is not just about the cost of goods — it’s about the dignity of work. That’s why we have to make sure our deliveristas have safety on the job, a minimum wage for their work, and tips that go directly to their pockets,” said Deputy Mayor for Economic Justice Julie Su. “Today’s lawsuit against Motoclick is not just an action against one company, it’s a warning to every app-based company from this Administration. You cannot treat workers like they are expendable and get away with it. We will seek full back pay and damages. We will seek full accountability."
“Motoclick and its CEO tricked New Yorkers into working for their platform with false promises and then stole their tips and earnings – sometimes even driving workers into debt.,” said DCWP Commissioner Samuel A.A. Levine. “We are seeking to shutdown this company and other predatory apps should be on notice. If you scam your workers, we will hold you and your executives accountable.”
-snip-
###
https://www.nyc.gov/mayors-office/news/2026/01/new-era-of-accountability--mamdani-administration-s-dcwp-sues-mo
NYC Mayor Zohran Mamdani Is Cracking Down On Food Delivery Apps
Just a couple of weeks after taking office following his underdog victory in last year's mayoral election, New York City mayor and noted fan of Kabab King Zohran Mamdani is wasting no time. He's unveiled a universal childcare policy alongside New York governor Kathy Hochul, smoothed out that annoying bump on the Manhattan Bridge bike lane, and now he's taking aim at food delivery apps for alleged anti-labor practices.
Mamdani's administration has sued Motoclick, a third-party platform that integrates delivery apps such as DoorDash, Uber Eats, and GrubHub. The suit claims that Motoclick ran afoul of the city's Minimum Pay Rate through tactics like deducting refunded orders from their delivery drivers' paychecks and charging their workers $10 per cancelled order. Mamdani has also warned 60 other delivery apps that they will be sued in turn if they don't comply with Delivery Worker Laws, which go into effect on January 26, 2025. "No longer will we tolerate corporate mistreatment of workers across these five boroughs," declared Mamdani.
-snip-
Horror stories abound regarding the labor conditions for delivery app drivers. Working for less than minimum wage, drivers are expected to work nearly nonstop, deal with harassment from customers and shoulder the burden of any injuries they might accrue on the job. And if that weren't enough, these drivers (often members of vulnerable population groups, like immigrants) frequently end up bilked out of their tips, too: Reports indicate that New York City delivery drivers lost $550 million in tips to their apps. At this point, getting Americans to stop ordering cold, soggy fries on Uber Eats is a losing battle — the least we can do is offer protection to the drivers.
Read More: https://www.thetakeout.com/2077845/nyc-mayor-mamdani-food-delivery-legal-action/
Just a couple of weeks after taking office following his underdog victory in last year's mayoral election, New York City mayor and noted fan of Kabab King Zohran Mamdani is wasting no time. He's unveiled a universal childcare policy alongside New York governor Kathy Hochul, smoothed out that annoying bump on the Manhattan Bridge bike lane, and now he's taking aim at food delivery apps for alleged anti-labor practices.
Mamdani's administration has sued Motoclick, a third-party platform that integrates delivery apps such as DoorDash, Uber Eats, and GrubHub. The suit claims that Motoclick ran afoul of the city's Minimum Pay Rate through tactics like deducting refunded orders from their delivery drivers' paychecks and charging their workers $10 per cancelled order. Mamdani has also warned 60 other delivery apps that they will be sued in turn if they don't comply with Delivery Worker Laws, which go into effect on January 26, 2025. "No longer will we tolerate corporate mistreatment of workers across these five boroughs," declared Mamdani.
-snip-
Horror stories abound regarding the labor conditions for delivery app drivers. Working for less than minimum wage, drivers are expected to work nearly nonstop, deal with harassment from customers and shoulder the burden of any injuries they might accrue on the job. And if that weren't enough, these drivers (often members of vulnerable population groups, like immigrants) frequently end up bilked out of their tips, too: Reports indicate that New York City delivery drivers lost $550 million in tips to their apps. At this point, getting Americans to stop ordering cold, soggy fries on Uber Eats is a losing battle — the least we can do is offer protection to the drivers.
Read More: https://www.thetakeout.com/2077845/nyc-mayor-mamdani-food-delivery-legal-action/