Instacart must pay $5 million to San Francisco workers

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Instacart must pay $5 million to San Francisco workers
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Most of the workers who will receive settlement money are considered essential workers as they made deliveries at the onset of the pandemic. “We hope this sends a strong message that the City aggressively investigates compliance with our labor laws.'

San Francisco has secured a $5.25 million settlement from Instacart after an Office of Labor Standards Enforcement investigation found that the company was not in compliance with two local labor laws, OLSE Director Patrick Mulligan and City Attorney David Chiu announced Thursday.

Instacart is required to engage a settlement administrator and send settlement funds to the administrator, which will be distributed among workers, within 45 days of the signed agreement. The OLSE's investigation into Instacart began after reports emerged of app-based tech companies incorrectly classifying their workers, according to a release from the City Attorney's office.

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