Bill Would Ban NYC Grocery Store Apps From Advertising 15-Minute Delivery
By Celia Young February 22, 2022 3:18 pm
reprints
A New York City Council member plans to introduce a bill that would ban grocery apps from advertising delivery in 15 minutes, out of concern that the speedy deliveries put pressure on workers using bicycles and scooters to break traffic laws.
The bill, which is in its early stages and set to be introduced by Christopher Marte, targets venture capital-backed delivery startups like Gopuff, Gorillas, Getir, Fridge No More and JOKR that have rapidly expanded across the city, offering swift food delivery for anyone in a 1-mile radius. It would make it illegal for them to advertise 15-minute delivery times and the bill will be part of a package of legislation to address concerns from delivery workers and bodega owners, though it’s unclear when the bills will be introduced, the New York Post first reported.
Marte, whose father was a bodega owner, told Commercial Observer that crafting the legislation is in its infancy stage but that he is concerned the delivery startups are undercutting bodega prices and taking up storefronts without adding a sense of community to the neighborhoods in which the companies occupy space.
Other legislation Marte emailed CO that he plans to introduce would limit the weight of deliveries and how workers have to carry orders, Marte. His legislation comes after the New York City Council passed protections for food delivery workers last year, which forced food companies to pay their workers at least one time per week and prohibited those firms from charging a fee for workers to be paid their own wages.
Grocery apps have been in intense competition to lease up space, even while some of the companies have lost money or gone out of business in the last year. JOKR is reportedly considering selling its New York City business and The Wall Street Journal reported that Fridge No More lost $3.30 on every order placed.
These companies have faced resistance from local legislators. There have been concerns that one, grocery delivery outposts might be in violation of zoning laws since the locations function more like warehouses than grocery stores and two, these rapid-delivery businesses pose a threat to local bodegas and grocers, as CO has reported. A spokesperson for the grocery delivery app Getir said the company usually delivers orders in ten minutes, but does not push its workers to travel too fast.
“At Getir, we do not promise exact delivery times and we never push our delivery riders for faster deliveries in the cities we operate,” a Getir spokesperson said to CO in a statement. “As a company, we are committed to ensuring the safety of our employees. We welcome the opportunity for further discussions with city officials.”
Gorillas, Fridge no more and JOKR did not immediately respond to requests for comment from CO.
Update: This story has been updated to include a comment from Getir.
Celia Young can be reached at cyoung@commercialobserver.com.
