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Comment by jamiequint

They weren't "defrauding the drivers of tip money" they were normalizing the variance in payments across deliveries by not directly paying the drivers tips and instead guaranteeing a minimum payment amount which was above the delivery fee.

Once they modify their system and move to a system where drivers get 100% of the tips the drivers will probably see approximately the same payouts on average, just with higher variance across drivers. Basically what DoorDash was doing is the same as tip-pooling at a restaurant which isn't exactly a controversial practice.

parent jamiequint 7 years ago

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