• UberPeople.NET - Independent community of rideshare drivers. It's FREE to be a person and enjoy all the benefits of membership. JOIN US! CLICK HERE

does amazon subsidize guaranteed pay w tips?

Caroline O'Donovan

Member
Media
"Instacart’s main competitors in the grocery delivery space are Shipt and Amazon Fresh. Like Instacart, those companies guarantee that 100% of the customer’s tip goes to the worker. It’s not clear whether those companies adjust their payout to workers based on the size of the customer’s tip, but neither has been the subject of a campaign organized by workers in the way Instacart has. An Amazon spokesperson said via email that it guarantees its delivery contractors $18 an hour, but didn’t respond to questions about whether customer tips subsidize that guaranteed rate. Shipt did not immediately respond to a request for comment. Postmates, a direct competitor with DoorDash, said in instances where a minimum base pay is in effect, it does not include customer tips in that figure, but instead adds them on top."


https://www.buzzfeednews.com/article/carolineodonovan/delivery-startups-are-using-tips-to-fulfill-pay-promises

my email is caroline.odonovan@buzzfeed.com :smiles:
 

kmatt

Active Member
Absolutely. They wont even give us a breakdown of our base pay and tips. They just give us one lump amount that "includes" tips.
 

kmatt

Active Member
Why don't you also ask Amazon why they capped drivers hours to 25 hours a week recently? They are treating us like employees and not independent contractors with that kind of behavior. It needs to stop.
 

Ssgcraig

Well-Known Member
Amazon Flex sucks, 75 bucks to deliver 50 packages in four hours. Did it as a last resort, highest block I got was 81 dollars, I've seen them go over 100, but even 100 for fours hours isn't worth it. Never do it at night again. Funny my first block was 4 hours and I only had 28 to deliver, that never happened again.
 

oicu812

Well-Known Member
Personally, I think the way Postmates handles tips among other gigs is the best. Tips should always be at the end of providing a service and not beforehand. It's like in a restaurant. Why would I tip the server before I got my meal and drinks? Beforehand tips is more like a bribe instead of a tip.

All these gigs need to be more transparent with pay. Postmates have a good breakdown on pay as does GrubHub. As for Amazon, the only non-transparency with pay is with Prime Now. Logistics is straightforward.
 
Last edited:

Boca Ratman

Well-Known Member
If these companies put a fraction of the effort into making the workers happy as they do trying to find way to take more without it looking like they are taking more it would pay off a 10 fold.

that is about as shitty as can be, paying less because of tips.. mfers
 
"Instacart’s main competitors in the grocery delivery space are Shipt and Amazon Fresh. Like Instacart, those companies guarantee that 100% of the customer’s tip goes to the worker. It’s not clear whether those companies adjust their payout to workers based on the size of the customer’s tip, but neither has been the subject of a campaign organized by workers in the way Instacart has. An Amazon spokesperson said via email that it guarantees its delivery contractors $18 an hour, but didn’t respond to questions about whether customer tips subsidize that guaranteed rate. Shipt did not immediately respond to a request for comment. Postmates, a direct competitor with DoorDash, said in instances where a minimum base pay is in effect, it does not include customer tips in that figure, but instead adds them on top."


https://www.buzzfeednews.com/article/carolineodonovan/delivery-startups-are-using-tips-to-fulfill-pay-promises

my email is caroline.odonovan@buzzfeed.com:smiles:
Yes. How do I know? A few of us got together and tested it. We placed orders to ourselves. These were restaurants orders. The reason is you can wait in a certain area or take a certain block to guarantee you get the order. (It’s not possible to do that with Prime Now).

TL;DR Amazon was skimming 25-50% of our tips.
 

Bygosh

Active Member
Win - Drivers earn a good wage for unskilled labor. Prime Now/Fresh/WF pay you based on how many deliveries you do and drivers make 20-30+/hr depending on region. Even after expenses it is still a decent wage for unskilled labor, if it wasn't the program would not be so competitive.

Win -Customers get stuff delivered to their door for 5 measly dollars.

Win - Amazon doesn't have to shell out a bunch of money in a business that has very low margins (groceries.)

Stop making problems where there isn't a problem.
 

Ssgcraig

Well-Known Member
Win - Drivers earn a good wage for unskilled labor. Prime Now/Fresh/WF pay you based on how many deliveries you do and drivers make 20-30+/hr depending on region. Even after expenses it is still a decent wage for unskilled labor, if it wasn't the program would not be so competitive.

Win -Customers get stuff delivered to their door for 5 measly dollars.

Win - Amazon doesn't have to shell out a bunch of money in a business that has very low margins (groceries.)

Stop making problems where there isn't a problem.
Amazon Flex from my point of view isn't worth the money. 50 packages to deliver is not worth 72 dollars. You forgot:

Lose - You drive 200-400 miles to deliver 50 packages, half the houses don't have numbers on them, night delivery should be a minimum 200 per 4 hour block. Good luck though, if you happy doing it then drive on!
 

oicu812

Well-Known Member
I guess some people believe Amazon logistics should make them more money than working for UPS, FedEx and USPS.

You know someone is making things up when they say that a 4 hr block would require driving 200-400 miles. Driving from the warehouse even 200 miles without delivering anything @ 65 mph takes 3+ hours.
 
Last edited:

Boca Ratman

Well-Known Member
"Instacart’s main competitors in the grocery delivery space are Shipt and Amazon Fresh. Like Instacart, those companies guarantee that 100% of the customer’s tip goes to the worker. It’s not clear whether those companies adjust their payout to workers based on the size of the customer’s tip, but neither has been the subject of a campaign organized by workers in the way Instacart has. An Amazon spokesperson said via email that it guarantees its delivery contractors $18 an hour, but didn’t respond to questions about whether customer tips subsidize that guaranteed rate. Shipt did not immediately respond to a request for comment. Postmates, a direct competitor with DoorDash, said in instances where a minimum base pay is in effect, it does not include customer tips in that figure, but instead adds them on top."


https://www.buzzfeednews.com/article/carolineodonovan/delivery-startups-are-using-tips-to-fulfill-pay-promises

my email is caroline.odonovan@buzzfeed.com:smiles:
Nice job, instacart didn't take long to change their policy.
 

Drizzle

Active Member
Door dash definately uses tips as a way to pay employees base pay. They market it as a gratuity, it is not by definition they should be required by law to call it a delivery fee. Its decietful to the customer. Does the customer know tips are just fees? Most likely not customers and drivers do not know. We are all being decieved by these companies. Its not one its all of them, one company starts stealing tips now they sll steal tips, they use our cars as equity and pull out vc loans spend money recklessly and steal our tips while lowering base pay and manipulate us with shady psycological tricks to get us to drive for free.
 
Top