The news: Food delivery company DoorDash rolled out an emergency relief program to help Dashers—its term for gig workers—offset rising fuel costs, which are up nearly 35% MoM to $3.96 a gallon in the US, per AAA.
The details: There are two parts of DoorDash’s relief program:
10% cash back on gas. The company is offering the more than half of Dashers who use a DoorDash Crimson Visa debit card 10% cash back on qualifying gas purchases, whether or not they’re on a delivery.
Weekly relief payments. It is also offering drivers who log at least 125 miles per week on DoorDash orders a weekly fuel-relief payment, starting at $5 and rising to $15 based on mileage. The program, currently set to run through April 26, could allow eligible drivers to save up to $1.90 per gallon per week.
Implications for companies that rely on gig workers: Rising fuel costs threaten to disrupt companies that depend on gig workers, including DoorDash, Uber, and Amazon.
By taking concrete steps to offset these pressures, DoorDash can help protect driver supply in the short term. However, over the medium to long term, higher operating costs may ultimately be passed on to consumers. While we expect DoorDash US restaurant sales to grow 19% this year, rising costs could weigh on demand as consumer pressures mount.
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