6/13/2023 0 Comments Seamless restaurants![]() ![]() Grubhub/Seamless, which controls roughly 62 percent of the market in New York City, and recently reported $363 million in revenue during the first quarter of 2020, did not immediately respond to our request for comment. The bills will be in effect through the duration of the pandemic, and for another three months after Governor Andrew Cuomo lifts the state's ban on dine-in service, as a way of allowing restaurants to regain their footing. A separate bill passed today also bans that practice.įines for imposing order and delivery fees past the legal mark range from $500 to $1,000. That money could help me bring on another employee," Wilson said.ĭelivery apps are also known to charge restaurants as much as $9 for phone calls placed through search engine ads, even if they don't result in orders. "We do hundreds of orders of Grubhub a day. A recent order totaling $52.90 resulted in Grubhub taking $15 in commissions, a 28 percent cut. ![]() Wilson told Gothamist that she had to furlough 15 of her 34 workers when restaurants were forced to shift to take-out or delivery only. "It's highway robbery," said Melba Wilson, owner of her eponymous soul food restaurant in Harlem, who is also the president of the New York City Hospitality Alliance. Companies like Grubhub/Seamless currently charge as much as 30 percent-20 percent for deliveries, and 10 percent for app orders. The legislation caps the fees at 20 percent of the cost of the order, excluding tips and taxes-15 percent for delivery orders, 5 percent for all orders placed through the app. The measure is designed to alleviate the pressure on restaurants who have been forced to rely on apps like Grubhub/Seamless, Postmates, and Uber Eats to stay afloat during the pandemic. The New York City Council passed a bill on Wednesday to cap the fees that third-party food delivery apps can charge business owners. ![]()
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