'We screwed up': Doordash admits underpaying New York workers

Doordash, the food‑delivery platform, announced a settlement of $131.5 million to resolve a New York City probe into alleged wage violations. The settlement follows an investigation that found the company had underpaid drivers by misclassifying hours and failing to provide required minimum wage and overtime compensation. In a statement, Doordash acknowledged shortcomings in its payment practices and pledged to improve compliance with labor laws. The agreement will be distributed to eligible workers, and the company will implement new monitoring mechanisms to ensure accurate wage calculations. The case underscores growing scrutiny of gig‑economy firms and their treatment of contract workers. While the settlement resolves the current probe, regulators may continue to examine similar practices across other jurisdictions. What to watch: Implementation of new wage‑tracking systems and any further regulatory actions targeting gig‑economy platforms.

Editor's note: Good adaptation of the source summary with accurate details regarding the settlement.

This article is AI-generated and fact-gated. Original reporting: BBC Business