(Instacart Photo)

The Seattle City Council unanimously approved legislation Monday that requires food delivery companies to pay drivers $2.50 per delivery on top of their regular rates. The hazard pay is intended to offset costs and risks that drivers are dealing with during the pandemic, like acquiring protective gear and cleaning vehicles between trips.

The hazard pay mandate will remain in effect for the duration of the state of emergency declared in March due to COVID-19. The law will be automatically repealed three years after the civil emergency ends if the City Council doesn’t take action on it before that time.

The ordinance is the Seattle City Council’s latest attempt to extend labor protections to gig workers who typically don’t qualify for traditional benefits because they are classified as independent contractors. It will apply to services like Instacart and UberEats, which have become lifelines for people sheltering at home due to the coronavirus.

“COVID someday will pass and this measure will pass but we’re still going to have massive inequities in this app-based economy,” said council member Andrew Lewis, a sponsor of the legislation, during the hearing.

Lewis and co-sponsor Lisa Herbold agreed to lower the premium pay from $5 per trip to $2.50 after discussions with the platforms and labor groups. Last week Instacart warned it could shut down service in Seattle if the original legislation passed. On Monday the company issued a statement asking Seattle Mayor Jenny Durkan to veto the bill.

“Over the last several days, we’ve received an outpouring of support from Seattle customers, local retailers, and shoppers for whom grocery delivery has become a lifeline and critical earnings opportunity,” an Instacart spokesperson said. “We’re disappointed that the Seattle City Council has ignored the voices of its community by passing today’s bill that strains grocery and food delivery essential services during this time of crisis”

The legislation prohibits grocery delivery companies from passing on premium pay costs to customers. It also forbids the platforms from reducing worker compensation or service areas within the city.

Council members Andrew Lewis and Lisa Herbold introduced the emergency legislation in May. It takes effect immediately and will largely remain intact for three years after Seattle’s state of emergency over coronavirus ends.

The bill originally included ride-hailing companies like Uber and Lyft but it was later tailored to only apply to drivers for food delivery networks. Separate legislation from Durkan seeks to provide minimum wage standards and other protections for Uber and Lyft drivers.

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