Instacart sues NYC over new minimum wage for delivery workers

Business Dec 03, 2025

Instacart is taking New York City to court over a new law that will require grocery delivery apps to pay workers at least $21.44 an hour starting January 26, 2025.
The law, passed after the City Council overrode the mayor's veto, aims to give grocery gig workers similar protections as restaurant delivery drivers.

Why does it matter?

Some observers say this case could shape how gig economy jobs work across the country.
Instacart says higher wages could mean pricier deliveries and fewer job opportunities, especially for low-income New Yorkers who depend on these services.
Advocates believe that if the law stands, it might inspire other cities to push for better pay and protections for app-based workers everywhere.