BILL NUMBER: S5139
SPONSOR: JACKSON
 
TITLE OF BILL:
An act to amend the labor law, in relation to protections and rights
afforded to delivery network company workers
 
PURPOSE:
This legislation will provide protections for app-based food delivery
workers against unwarranted account deactivation.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section one amends the labor law by adding a new article 21-B.
Section two establishes the effective date.
 
JUSTIFICATION:
Food delivery services have expanded greatly in recent years, allowing-
people to easily place food delivery orders on mobile apps and websites.
The expansion of these apps has benefited restaurants, gig economy work-
ers and customers; however, the ability for these workers to remain on
platform is dependent on the rating and feedback provided by customers.
While each platform has its own specific policies, generally, delivery
worker is at risk of having their account deactivated when their rating
drops below a certain threshold, including for ratings and complaints
levied against a worker for a slow or delayed delivery. In many cases,
workers are provided no warning of a forthcoming deactivation or any
opportunity to appeal.
These practices by app companies have led to a highly competitive and
speed-driven environment on the streets as delivery drivers compete to
receive more orders and earn better tips. The 2022 Bicycle Crash Data
Report released by the New York City Department of Transportation showed
an increase in the number of injuries and deaths involving e-bikes and
scooters, a mode of transportation relied upon by many delivery workers,
over previous years. Requiring delivery apps to follow a standard proc-
ess for account deactivation, including an opportunity for workers to
appeal the decision, will remove some of the uncertainty in their job.
This legislation would protect delivery drivers by requiring all food
delivery services to adhere to a deactivation policy that prohibits
account deactivation based on rejection or cancellation of an order
customer ratings or other factors without first conducting a fair and
objective investigation, with exceptions for certain egregious miscon-
duct. The legislation would also require all delivery drivers to receive
advance notice of an impending deactivation and an opportunity to appeal
the deactivation. Lastly, the legislation provides the state Department
of Labor with the authority to enforce the law and provides workers with
protections against retaliation for exercising rights afforded in the
bill.
 
LEGISLATIVE HISTORY:
2024: S.8215 - Referred to Labor/ A.8070 - Referred to Labor
 
FISCAL IMPLICATIONS:
None to the State.
 
EFFECTIVE DATE:
180 days.