SEATTLE – A recent survey of more than 100 Seattle small business restaurateurs who partner with third-party delivery companies shows that sales have declined an average of 38% in the last 2.5 months since the implementation of the city’s app-based minimum pay ordinance.
The survey also showed 97% of restaurants want the new delivery pay ordinance repealed.
Nearly 8 in 10 respondents saw total sales fall in the first quarter of 2024, compared to the same time last year. Of the 30% of respondents who indicated they’ve seen an increase in either in-person or take-out sales, nearly 86% report they are still losing revenue.
For weeks, third-party delivery drivers have been testifying at Seattle City Council meetings asking to restore the conditions that fostered high order volumes, tips and earnings for small restaurant owners and drivers. Now, the council is considering legislation that would fix key issues with the current law.
“We are excited the Seattle City Council is taking a serious look at the impact of the new law,” said Sarah Clark, director of policy at the Chamber. “The rushed legislative process last year neglected the concerns of local businesses.”
The list of stakeholders shared by the sponsors after the first bill was passed does not include a single representative from the business community.
“We’re grateful Council President Sara Nelson and current councilmembers are acting quickly to undo the significant impact on small businesses,” Clark said. “This legislation demonstrates how the lack of meaningful engagement with small business owners can result in negative impacts to the workers it meant to help. We will continue to advocate for businesses to have a seat at the table and policies that encourage economic activity.”
Media contact: Jillian Henze, APR
Cell: 425-785-6731
jillianh@www.seattlechamber.com
Twitter: @seattlechamber
Facebook: /seattlebusiness