Tuesday, December 15, 2020

Doordash Officially Announces When Prop 22 goes in to Affect

Doordash recently sent an email to Doordash drivers in California to update them about when Prop 22 will go in to affect. For those that don't know, Proposition 22 was voted in by Californians last month. You can learn more about that here. It was said earlier by Doordash that everything would go in to affect in the middle of December, and the email that was received on Monday, December 14, 2020 confirmed it. In this email, Doordash stated that Prop 22 will go in to affect on Wednesday, December 16, 2020.

What does the prop 22 email from Doordash say?

If you are a regular reader of "Doordash Driver," most of what we are going to list here you would most likely already know. For those that don't know, go on ahead and read on. The email from Doordash first stated what will remain the same.

Doordash mentioned that Dashers will still receive base pay for each delivery that they do and that they will still receive 100 percent of their tips. They also mentioned that peak pay and challenges will continue to operate as normal. The last thing they mentioned as far as things staying the same was that Dashers will continue to get paid weekly via direct deposit and that Dashers will still have the "Fast Pay" option.

When it comes to things that are going to be new for Dashers, the email briefly explained all the things that will come along with prop 22. They mentioned that Dashers will receive at least 120 percent of minimum wage for active time and also mentioned the 30 cents per mile that Dashers will now get. To learn more about all of the Prop 22 benefits you may want to check out this article.




Doordash explains how new Prop 22 pay will work

I have to say that I liked how Doordash clearly explained in their email how the new Prop 22 pay will be figured out. At the end of the week, Doordash will look at a Dasher's earnings and see if it's lower than what they are guaranteed. This guarantee is of course figured out from the 120 percent of minimum wage guarantee. If the Dasher's earnings for the week are lower than the guarantee, then Doordash will make an adjustment to the Dasher's earnings to make up the difference. Again, the new Prop 22 rules go into affect on Wednesday, December 16, 2020 per the Doordash email.





Example earnings of how Prop 22 pay will work

For those that are still a bit confused about how all of this will work, I'm going to make up two different scenarios that will be easy to understand. In our first scenario, let's say that a Doordash driver works Monday through Friday from 10 a.m until 6 p.m. He does these exact hours every single day. Out of those 8 hour days, he always has exactly 2 hours per day that he sits around waiting for a call, but he is out and about for 6 hours every single day. His earnings for each day are always exactly $70. When you multiply that by five days we see that this Dasher has earned $350 for the week.

In the what we can now call the old days, that would be the Dasher's earnings for the week, and there would be nothing else to talk about. With Prop 22 in affect, this Dasher is going to earn more than that. When Sunday night (Monday morning) comes around and it's time for Dasher's to get that direct deposit for last week's work, Doordash will calculate this Dasher's earnings.


Rent a car, Drive with Uber or Lyft - HyreCar


The Dasher was active for 6 hours each day. Remember, he sat around for 2 hours each day. That means that this Dasher was active for 30 hours during the week. Doordash guarantees that this Dasher will earn at least 120 percent of minimum wage for active time. As of right now, 120 percent of minimum wage in most parts of California is $15.60. This is based off of the current $13 minimum wage which by the way will go up to $14 in 2021, but since we are still in 2020 we are going to figure this all out with our current minimum wage. If we multiply the Dashers 30 hours of active time by $15.60, we come out with $468. This is what the Dasher is guaranteed for his 30 hours of work. Since he only made $350, Doordash will adjust his earnings to $468.

The Dasher will also get 30 cents per mile that he drove to make all of his deliveries. If the driver made 50 deliveries during the week and drove 150 miles, he would earn an additional $15. Let's not forget tips. Customer tips are not figured in to the guaranteed earnings. It is a whole separate issue. From those 50 deliveries, the Dasher may have gotten $150 of tips (An average of $3 per delivery.) This would put the Doordash driver's weekly earnings at $633 instead of $350. As you can see, this is a considerable difference.




In our second scenario, we again have a Dasher that works 10 a.m. to 6 p.m. Monday through Friday. He also sits around for 2 hours each day and is active out there making deliveries for 6 hours each day. He earns $150 each and every day which gives him a weekly pay of $750 for the week.

At the end of the week, Doordash will look at this Dasher's earnings and see that he made $750 with 30 active hours under his belt. When Doordash multiplies $15.60 (120 percent of minimum wage) by 30 active hours they will come up with $468. The Dasher earned more than this, so there will not be any adjustment to this Dasher's earnings.



His $750 of weekly earnings will be supplemented with his 30 cents per mile earnings as well and his customer tips earnings. I don't have to do the math here for you to know that this Dasher will have done very well for the week. The 120 percent guarantee does not stop hustlers from earning the big money they deserve, but it does guarantee drivers that they will earn at least something worthwhile for their time.



No comments:

Post a Comment