Tip Gyp at Doordash

December 2nd, 2019

Categories: Cheating, Delivery, Food, Gyps, Restaurant, Stealing

Photo: cnbc.com

Seven years ago partners chef Mario Batali and Joseph Bastianich paid a price–$5.25 million–for stiffing a percentage of the tips of their employees at Batali’s pricey Italian restaurants such as Babbo, Bar Jamon, Casa Mono and Esca to pay sommeliers’ salaries.

A chunk of the penalty money went to captains, servers, busboys and others.

Photo: blog.doordash.com

Small potatoes by comparison but “The attorney general of Washington, D.C., is suing food-delivery company DoorDash Inc. for pocketing tips on deliveries,” wrote Allison Prang in The Wall Street Journal. To meet the minimum pay promised deliverymen and women the company applied the tip money customers added electronically. Workers were not given the tip in addition to the minimum.

Karl Racine, DC attorney general, said Doordash also deluded customers who thought they were giving a tip.  Prang wrote: “The attorney general is seeking a court order to force DoorDash to surrender the tips and pay civil penalties.”

Doordash claimed that “the assertions made in the complaint are without merit and we look forward to responding to them through the legal process.”

Why do profitable companies pick on the smallest fries–all of whom are essential to their success–to squeeze them out of their rightful compensation? Is it OK because the owners take the risk and make the investment in their companies or is it wrong under any circumstances?

Photo: newsismybusiness.com

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8 Responses to “Tip Gyp at Doordash”

  1. Martha Takayama Said:

    There is no explanation for companies inappropriately taking money meant as tips from their employees except greed. It should unequivocally be considered illegal and the monies should be restored to the rightful recipients. Furthermore wages should be based on a standard scale meeting wage and hour guidelines proportional to tipping which is elective.

  2. ASK Said:

    Even if I pay an at-home food delivery bill with a credit card, I always give the delivery person a cash tip. And that usually holds true for restaurant charges as well. I don’t really believe in a totally cashless society.

  3. Jeanne Byington Said:

    Martha,

    Not only should the monies be restored to the delivery staff in the case of Doordash but the company should be fined plenty because I doubt that the restoration of the money is enough to get through to a place that tries this kind of thing in the first place.

  4. Jeanne Byington Said:

    ASK,

    Yours is the perfect and only solution. In a pricey restaurant such as Batali’s the tips could be substantial and most don’t carry around enough cash…though if patrons think of it in advance it’s the only answer.

    My husband tried always to pay taxis in cash so that they’d get what they should from cab owners–no shenanigans.

  5. Lucrezia Said:

    Tips should never be made by credit/debit card, but always in cash and directly to the server. It’s a shame that the public had to wait for scandals to sense the possibility of fraud. To insure its avoidance, write N/A in big letters, where it says “tip” on receipt.

    Stealing from those assumed to be least able to fight back is an ugly perk often used by the powerful. It’s high time that such vermin are squashed.

  6. Jeanne Byington Said:

    Lucrezia,

    You and ASK agree and I should follow suit.

    I usually have little cash on me because I like to know what I spend each month and it is there, in front of me, if everything is on one credit card. It’s amazing how a little here and a little there adds up to $hundreds. And if the cost of the meal is to be charged as an out of pocket expense to a client, and the amount is substantial, it’s best to have a receipt that covers the whole thing should a client question [though it’s never happened to me].

    At the same time the thought that someone might be nibbling at my hard-earned money meant for the person who has served me is more than infuriating.

  7. EAM Said:

    I heard that Batali threw parties for celebrities inc. Michael Stype, the servers worked 6+ hours into the wee hours of the morning and found they were not paid which was B.S. Those people count on tips for their salary, it’s always inappropriate.

  8. Jeanne Byington Said:

    EAM,

    I’ve referred to this cheap person before. He complained about having to leave any tip when he paid over $100 for one dinner. He said it was enough! Goodness.

    And you are right: Tips are part of the compensation for waitstaff.

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