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Instacart to pay $730,000 to settle alleged violations of Seattle’s gig worker ordinance

March 27, 2024

Instacart agreed to pay $730,041.15 in remedies to 5,567 affected workers to settle allegations it violated the city’s Gig Worker Paid Sick and Safe Time Ordinance, the Seattle Office of Labor Standards announced March 26. 

Additionally, the San Francisco-based grocery delivery platform will pay $18,685.50 in fines to the City of Seattle. 

According to the OLS investigation, Instacart failed to comply with the ordinance between July 13, 2020, and March 6, 2024.  

The Gig Worker Paid Sick and Safe Time Ordinance — in effect during the pandemic from July 13, 2020, to April 30, 2023 — applied to gig workers of food delivery network companies and transportation network companies with 250 or more gig workers worldwide. These temporary rights were made permanent on May 1, 2023, under the city’s App-Based Worker Paid Sick and Safe Time Ordinance. 

Instacart says despite the complicated nature of the ordinance, it worked diligently to comply and paid out millions of dollars to eligible shoppers. 

“The Seattle Gig Worker Paid Sick and Safe Time (PSST) ordinance was introduced as Instacart and other app-based companies were rapidly responding to the pandemic in 2020 and expired last year,” Instacart said in a statement to SIA. “Despite the complicated nature of the ordinance, Instacart worked diligently to comply and paid out millions of dollars to eligible shoppers. We will continue to comply with all regulations, including the now-permanent PSST ordinance, as we provide a positive experience for shoppers on our platform.” 

Instacart operates nationwide and has several thousand gig workers in Seattle.