{"id":115197,"date":"2026-01-28T16:20:08","date_gmt":"2026-01-28T16:20:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/115197\/"},"modified":"2026-01-28T16:20:08","modified_gmt":"2026-01-28T16:20:08","slug":"instacart-charges-new-nyc-regulatory-fee-after-city-law-changes-delivery-tipping-process","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/115197\/","title":{"rendered":"Instacart charges new \u2018NYC regulatory\u2019 fee after city law changes delivery tipping process"},"content":{"rendered":"<p>It\u2019s a fresh new fee!<\/p>\n<p>Grocery delivery app <a href=\"https:\/\/nypost.com\/2025\/12\/09\/business\/instacart-charging-different-prices-on-same-grocery-staples-in-same-stores-study\/\" rel=\"nofollow noopener\" target=\"_blank\">Instacart<\/a> abruptly began charging Big Apple residents a new \u201cregulatory response fee\u201d this week after sweeping changes to the city\u2019s delivery worker laws were enacted Monday, The Post has learned.<\/p>\n<p>Grocery delivery app Instacart began suddenly hitting Big Apple residents with a new \u201cregulatory response fee.\u201d Bloomberg via Getty Images<\/p>\n<p>\u201cNYC regulatory response fees appear in the order summary,\u201d the FAQ section of Instacart\u2019s <a href=\"https:\/\/www.instacart.com\/help\/section\/360007902791\/360039164252\" rel=\"nofollow noopener\" target=\"_blank\">website now reads<\/a> \u2014 a marked change from archived versions of the site just one month prior. An explanation of the fee reads that it \u201chelps cover increased operating costs in NYC due to government regulations on delivery platforms.\u201d<\/p>\n<p>A Post analysis of orders prior to Monday found no such fee tacked on. Yet by Tuesday, a $5.99 fee was applied to orders ranging from $35 to $184.<\/p>\n<p>Instacart confirmed the fee took effect Monday and blamed \u201cthe City Council\u2019s misguided and burdensome grocery delivery laws,\u201d in a statement to The Post. <\/p>\n<p>\u201cFor months, we raised clear, data-backed concerns that the policy would increase grocery delivery costs for New Yorkers, but those warnings were repeatedly ignored,\u201d the statement said. <\/p>\n<p>The city\u2019s Department of Consumer and Worker Protection is investigating the matter, a rep said.<\/p>\n<p>Instacart was already in hot water after an explosive study last month found the company used a shady algorithm that <a href=\"https:\/\/nypost.com\/2025\/12\/09\/business\/instacart-charging-different-prices-on-same-grocery-staples-in-same-stores-study\/\" rel=\"nofollow noopener\" target=\"_blank\">charges different prices to different customers for the same items<\/a> without telling them.<\/p>\n<p>The city\u2019s new worker protections, which took effect under a new law Monday, include expanded minimum pay to drivers working for grocery delivery apps like Instacart. AP<\/p>\n<p>The city\u2019s new worker protections, which <a href=\"https:\/\/nypost.com\/2026\/01\/13\/business\/doordash-uber-eats-erased-550m-in-delivery-worker-tips-in-nyc-mamdani-administration-alleges\/\" rel=\"nofollow noopener\" target=\"_blank\">took effect under a new law Monday,<\/a> include expanded minimum pay to drivers working for grocery delivery apps like Instacart.<\/p>\n<p>Excluding tips, the minimum hourly rate is $21.44 an hour with annual increases.<\/p>\n<p>New York City law now also requires\u00a0<a href=\"https:\/\/nypost.com\/2026\/01\/13\/business\/doordash-uber-eats-erased-550m-in-delivery-worker-tips-in-nyc-mamdani-administration-alleges\/\" rel=\"nofollow noopener\" target=\"_blank\">food delivery apps such as Uber Eats and DoorDash<\/a>\u00a0to provide customers a tipping option before checkout \u2014 and sets the default option to at least 10% of an order\u2019s cost.<\/p>\n<p>The Mamdani administration alleged earlier this month DoorDash and Uber Eats prevented delivery workers from earning over $550 million in tips by <a href=\"https:\/\/nypost.com\/2026\/01\/13\/business\/doordash-uber-eats-erased-550m-in-delivery-worker-tips-in-nyc-mamdani-administration-alleges\/\" rel=\"nofollow noopener\" target=\"_blank\">requiring customers to leave gratuities after checkout.<\/a><\/p>\n<p>Instacart came under fire last month after an explosive study found the company used a shady algorithm that charges different prices to different customers for the same items in the same store. rfaraino<\/p>\n<p>City officials said the change was needed to protect workers\u2019 income after tips plummeted when a new minimum-wage law went into effect in late 2023.<\/p>\n<p>Uber Eats and DoorDash had asked a federal judge to block the legislation, accusing the city of violating their free speech rights by forcing them to \u201cspeak a government-mandated message in a prescribed manner and at a prescribed time.\u201d<\/p>\n<p>A delivery worker at work in New York City on Thursday, Jan. 15, 2026. Bloomberg via Getty Images<\/p>\n<p>The companies also claimed the new minimum pay requirements have made New York City food deliveries more expensive and argued the new laws \u2013 combined with \u201ctipping fatigue\u201d and \u201cgenerally rising prices\u201d \u2013 will hurt their bottom lines.<\/p>\n<p>US District Judge\u00a0George B. Daniels\u00a0still declined to strike down the legislation in a Friday decision \u2014 and Instacart\u2019s new fee popped up soon after.<\/p>\n","protected":false},"excerpt":{"rendered":"It\u2019s a fresh new fee! Grocery delivery app Instacart abruptly began charging Big Apple residents a new \u201cregulatory&hellip;\n","protected":false},"author":2,"featured_media":115198,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[14010,35407,251,57,9,197,56,63,65,64,58],"class_list":{"0":"post-115197","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-new-york-city","8":"tag-delivery-services","9":"tag-food-delivery","10":"tag-instacart","11":"tag-metro","12":"tag-new-york","13":"tag-new-york-city-life","14":"tag-ny","15":"tag-nyc","16":"tag-nyc-headlines","17":"tag-nyc-news","18":"tag-us-news"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/115197","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=115197"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/115197\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/115198"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=115197"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=115197"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=115197"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}