DoorDash CEO says the company will pay full tips following backlash

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DoorDash CEO says the company will pay full tips following backlash
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DoorDash CEO says the company will soon change its policy to make sure that its drivers receive the full tip given by customers.

DoorDash CEO Tony Xu said on Twitter on Wednesday that the company will soon change its policy to make sure that its drivers receive the full tip given by customers.revealed that, while a DoorDash delivery person was guaranteed a minimum for a delivery, customer tips were not included in full on top of the delivery payment. DoorDash had told The New York Times that dashers preferred working for a flat fee in case people did not tip at all.

Xu said the strategy was not built to pay the company’s delivery people less. “In fact, when we moved to it, our average contribution to Dashers stayed the same,” he said. But that will change. “Going forward, we’re changing our model - the new model will ensure that Dashers’ earnings will increase by the exact amount a customer tips on every order,” Xu explained.“We’ll have specific details in the coming days.”Todd Haselton, CNBC

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