Overview
- Instacart filed a complaint in Manhattan federal court on Dec. 2 seeking to stop five local laws from taking effect on Jan. 26.
- The suit targets Local Law 124 setting a $21.44-per-hour minimum for grocery delivery workers and Local Law 107 requiring a tipping option of at least 10%, along with added recordkeeping and disclosure rules.
- Instacart argues federal law preempts city regulation of prices and services, cites the Constitution’s protections for interstate commerce, and claims New York State controls minimum pay standards.
- The company warns it would need to restructure its platform, limit shoppers’ access to work, and change operations unless the court grants an injunction.
- City officials defend the measures as necessary for fair compensation, saying Instacart shoppers average about $13 per hour without benefits, and note the Council enacted the pay law over the mayor’s veto in September.