Delivery Fee Not a Gratuity Under NYS Law, According to Second Circuit

In a case likely to have ripple effects across the industry, the Second Circuit of the United States Court of Appeals has ruled that a mandatory “delivery fee” was not a gratuity under New York State Law. This ruling may significantly impact delivery services throughout the state, who in some cases have been significantly underpaying delivery people on the basis of a “delivery fee” they received. Companies employing delivery people will need to reexamine their pay structure and compensate employees for lost wages. Continue reading “Delivery Fee Not a Gratuity Under NYS Law, According to Second Circuit”

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