The New York City Council has voted to make the current commission fee cap on third party food delivery. Delivery fees are capped at 15 percent per order for delivery and more than 5 percent per order for all other fees, except for transaction fees. This cap will be reviewed by the Council every two years.
“Even before the pandemic began, it was clear that protecting the jobs and businesses of New Yorkers in the service industry was vital to our city’s economic success,” said NYC Council Member Francisco Moya, who sponsored the bill, in a statement. “As we continue to tackle the rollercoaster that is COVID-19, our commitment to protect the restaurant industry and its workers remains steadfast. We are not here to enable billion dollar companies and their investors to get richer at the expense of restaurants. By limiting, without expiration, the fees charged to restaurants by third-party food delivery services, we are ensuring that mom-and-pop shops have a real opportunity to recover and thrive. This is one example of how we stand with businesses and their workers. I am grateful to the Speaker and my colleagues in the Council for being a part of this fight with securing these protections.”
The bill is now waiting for Mayor Bill de Blasio’s signature.