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Extractive business models

2026-01-02 17:34:12.315307+01 by Dan Lyke 1 comments

Reddit /r/confession: I’m a developer for a major food delivery app. The 'Priority Fee' and 'Driver Benefit Fee' go 100% to the company. The driver sees $0 of it.

And regarding tips, we're essentially doing Tip Theft 2.0. We don't "steal" them legally anymore because we got sued for that. Instead, we use predictive modeling to dynamically lower the base pay.

If the algo predicts you are a "high tipper" and you’ll likely drop $10, it offers the driver a measly $2 base pay. If you tip $0, it offers them $8 base pay just to get the food moved. The result is that your generosity isn't rewarding the driver; it’s subsidizing us. You’re paying their wage so we don't have to.

Via this Toot, which captured the post in images.

[ related topics: Interactive Drama Food Work, productivity and environment ]

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#Comment Re: made: 2026-01-03 01:21:44.620835+01 by: markd

The rare times I do food delivery (when traveling), I tip in cash upon delivery. No trust for the companies involved.

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