News Category: Policy

Grubhub Backs Legislation to Lift New York City Liquor Tax

Suspending tax will help independent restaurants survive and thrive in wake of COVID-19

Grubhub, a leading food ordering and delivery marketplace, today urged the New York City Council to pass legislation waiving the annual tax on state licensed retailers selling liquor, wine or beer on- or off-premises in the City of New York. The bill, introduced by Council Members Keith Powers and Justin Brannan (at the request of Mayor Eric Adams) on Thursday, was also a key component of the Mayor’s blueprint for the city’s economic recovery.

“Grubhub strongly supports lifting New York City’s liquor tax, a commonsense solution that will help independent bars and restaurants not only survive but thrive as they continue to recover from the pandemic,” said Amy Healy, vice president of government affairs at Grubhub. “Small businesses are the cornerstones of every New York City neighborhood. We are pleased to see Mayor Adams and Council members Brennan and Powers continue to ally with small businesses and offer new tools to help put money back in their pockets.”

Grubhub was a vocal backer of Governor Kathy Hochul’s successful push to include permanent alcohol delivery and takeout in the New York State budget earlier this year. Throughout the pandemic, the company actively worked with local independent restaurants in New York City and across the country, providing them with an avenue to reach diners while helping partners and communities in need. In addition to direct marketplace support, Grubhub has provided millions of dollars in individual grants to restaurant partners to help them pay for overhead costs, employee retention and more.

How Grubhub is Fighting Food Waste & Food Insecurity

While food insecurity is rapidly rising, the world is expected to waste 2.1 tons of food a year by 2030, according to Yale research. In the United States alone, $408 billion was spent on food in 2021 that was never eaten. That’s nearly a quarter of U.S. food going to waste instead of to those who need it.

Today, on Stop Food Waste Day, Grubhub is doubling down on its calls for Congress to pass the Food Donation Improvement Act (FDIA), which would strengthen existing laws for food donations, help prevent food waste, and provide relief directly to the millions of Americans who are experiencing food insecurity.

Alongside WW and other partners, Grubhub has been a leading backer of the Food Donation Improvement Act. Our vice president of government affairs, Amy Healy, recently joined Food Tank’s “Food Talk” podcast to discuss the role of the private sector in combating food insecurity – and why the government needs to make it easier for companies to donate food. 

As Amy explains, the Food Donation Improvement Act is an essential step toward bringing all businesses – not only large corporations, but also independent businesses, such as Grubhub’s restaurant partners – into the fight against food insecurity.

The Food Donation Improvement Act would build upon the Bill Emerson Good Samaritan Food Donation Act, which passed in 1996 to encourage companies to donate their surplus food and grocery products to nonprofits by providing civil and criminal liability protection to food donors and food recovery organizations. However, many food manufacturers, retailers, farmers, and restaurants still cite fear of liability. Expanding and clarifying existing liability protections for food donation is crucial to ensuring that companies can donate safe, quality foods, without a preventable concern about litigation.

Grubhub continues to meet with offices on both sides of the aisle to generate support for this legislation and to solicit additional cosponsors, with the hopes of the bill being included in upcoming relevant legislative packages.

We are also doing as much as we can right now to fight food insecurity and reduce waste, in hopes of inspiring our partners and competitors to do the same. Grubhub has donated millions to organizations like Rescuing Leftover Cuisine, a food rescue non-profit headquartered in New York City that is purchasing meals from minority and women-owned restaurants that are donated back into the community to food insecure families. We’ve also given to the MEANS Database, which with Grubhub’s donation is purchasing leftover food from restaurants in Chicago, Denver, Los Angeles, Las Vegas, Oakland, Philadelphia, Providence and San Francisco and donating it to underserved communities in need.

Grubhub Community Fund donations to these and other related organizations – including via our diners through our Donate the Change program – totaled more than $2 million in 2021, and we’ve recommitted to those partnerships for the year ahead.

It’s time for America to modernize its food donation laws so we can reduce waste while getting food into the hands of those in need.

America’s Leading App-Based Companies Launch Flex, A New Industry Association

As the voice of the app-based economy, Flex will promote policies that meet the needs of today’s society and economy

WASHINGTON, March 8, 2022 /PRNewswire/ — America’s leading app-based platforms, representing more than 52 million workers, have joined together to form Flex, a new industry association that will serve as the voice of the app-based economy. Founding member companies include DoorDash, Gopuff, Grubhub, HopSkipDrive, Instacart, Lyft, Shipt, and Uber.

The association will advocate for commonsense solutions on a range of issues affecting workers, consumers, businesses, and other stakeholders who comprise the app-based economy.

“Millions of businesses, communities, and workers count on app-based platforms every day. Flex will give a voice to an industry driving the new American economy forward,” said Kristin Sharp, CEO of Flex. “With innovative, app-based technology at our fingertips, we have an incredible opportunity to continue to solve problems. Whether it’s getting around town, shuttling kids to school, or just connecting people with dinner or the groceries they need, our member companies help seamlessly fill gaps in our day-to-day lives. That’s why it’s so important for Flex to advocate for the everyday heroes driving this economic evolution.”

Flex is immediately launching its first education campaign under the banner “Independence Works”. The ad buy in the Washington, DC metro area features real app-based workers who count on the independence and flexibility of platform work. Nationally, app-based workers work an average of eight hours per week, allowing them to earn extra money on their own terms.

“The flexibility of the app-based economy has completely transformed how people work, buy goods and services, and run their businesses,” Sharp said. “Flex gives them a voice at the policy-making table so they can continue to help drive the American economy forward. Our first campaign highlights the flexibility of app-based work and explains why it is so important to workers.”

Flex is led by workforce policy expert Kristin Sharp as CEO and former Columbia, South Carolina Mayor Steve Benjamin as Board Chair. Flex’s Board of Directors is comprised of executive leadership from each member company.

“App-based work is open to all. Anyone can do it, and more and more people are choosing it because it breaks down barriers that often hold people back,” said Steve Benjamin, Board Chair of Flex. “Technology has redefined the way we work. Let’s replace antiquated policies with innovative solutions that support individual goals and businesses across our country.”

Based in Washington, DC, Flex will foster dialogue and understanding between app-based companies and public sector leaders while promoting policies that protect worker independence, expand flexible earning opportunities, foster local economic growth, address safety and sustainability, and expand access to essential services for millions of customers in communities across the United States.

For more information, please visit www.flexassociation.org.

About Flex, the voice of the app-based economy
Flex is the voice of the app-based economy, representing America’s leading app-based rideshare and delivery platforms and the people who count on them. Our member companies —DoorDash, Gopuff, Grubhub, HopSkipDrive, Instacart, Lyft, Shipt, and Uber—help provide access to crucial goods and services to customers safely and efficiently, offer flexible earning opportunities to workers, and support economic growth in communities across the country. Together, we advocate for policies that enable our industry to continue delivering for the people who count on our platforms.

About Flex’s Leadership

Kristin Sharp, CEO
Kristin Sharp has made a career out of innovating the way we work. Prior to joining Flex, Kristin was CEO of the Education Quality Outcomes Standards (EQOS) board and senior fellow and former director of New America’s Initiative on Work, Workers, and Technology. She also co-founded Shift: The Commission on Work, Workers, and Technology, a joint project of New America and Bloomberg. Before that, she worked on technology, innovation, and national security policy in the US Senate for Sens. Mark Warner, Mark Pryor, Amy Klobuchar, and Richard Lugar.

Steve Benjamin, Chairman of the Board
Steve Benjamin understands the importance of empowering communities with access. He comes to Flex following a more than decade-long tenure as mayor of Columbia, South Carolina. As mayor, Steve focused on economic development, job creation, and community safety. He served as President of the US Conference of Mayors from 2018-2019 and as President of the African American Mayors Association from 2015-2016. He has also been Executive Chairman of Municipal Bonds for America, a member of the Federal Communications Commission’s Intergovernmental Advisory Committee, and a member of the Accelerator for America Advisory Council.

SOURCE Flex

Grubhub Applauds Governor Hochul’s Push To Make To-Go Drinks Permanent In New York

Extending alcohol and delivery takeout can provide “vital lifeline” for bars and restaurants in wake of COVID-19

NEW YORK, Mar 3, 2022 – Following Governor Kathy Hochul’s announcement of new plans to support the hospitality industry on Wednesday, Grubhub, a leading food ordering and delivery marketplace, reinforced its support for making alcohol to-go drinks for restaurants and bars permanent. The effort, which is included as part of the Governor’s proposed budget, is one of a number of key steps outlined designed to modernize state liquor regulations and support small businesses hit hard by the pandemic.

“Grubhub strongly supports extending alcohol delivery and takeout in New York and we applaud Governor Hochul’s push to offer this vital lifeline for bars and restaurants as they get back on their feet,” said Amy Healy, vice president of government affairs at Grubhub. “While restaurants are open and capacity restrictions have been lifted, a full economic recovery is likely years away. Allowing restaurants and bars to offer takeout and delivery of beverages they are already permitted to sell on-premise is a commonsense approach that will give these small businesses a critical tool in their fight to survive and ultimately thrive.”

Grubhub partners with thousands of restaurants across the state of New York, where food delivery is part of the local fabric, and processed billions of dollars in sales to restaurants in 2021. Throughout the pandemic, the company has actively worked with local independent restaurants, providing them with an avenue to reach diners while helping partners and communities in need. In addition to direct marketplace support, Grubhub has provided millions of dollars in individual grants to restaurant partners to help them pay for overhead costs, employee retention, and more. Grubhub is also working to help those who are food insecure with a purchased meal program from local restaurateurs.

About Grubhub
Grubhub is part of Just Eat Takeaway.com (LSE: JET, AMS: TKWY, NASDAQ: GRUB), a leading global online food delivery marketplace. Dedicated to connecting more than 32 million diners with the food they love from their favorite local restaurants, Grubhub elevates food ordering through innovative restaurant technology, easy-to-use platforms and an improved delivery experience. Grubhub features more than 300,000 restaurant partners in over 4,000 U.S. cities.

Safeguarding Our Efforts to Increase Food Security and Prevent Food Waste

We’ve long embraced our responsibility at Grubhub to use our resources and partnerships to increase the positive impact we can have on the communities we serve. When the pandemic forced the restaurant industry to dramatically change overnight, we doubled down on this commitment, further supporting our restaurant partners and helping them continue to be there for their communities. One of many ways we’ve done this is by purchasing more than three million meals donated to those in need.

A reason why we are able to make this difference is because of a national law called the Bill Emerson Good Samaritan Food Donation Act. First signed in 1996, this law encourages donation of food and grocery products – including meals from restaurants – to non-profit organizations for distribution to individuals in need, by protecting organizations from liability as long as their donations are made in good faith. The Emerson Act has not been updated in 25 years, and unfortunately millions of pounds of food and groceries that could help under-served communities still go to waste in this country every year.

Today on Giving Tuesday, U.S. Senators Blumenthal and Toomey introduced the Food Donation Improvement Act of 2021 to modernize the Emerson Act. Expanding and clarifying the existing law for food donation will help us make meaningful progress on the issue of food waste and provide relief to the millions of Americans in our communities experiencing food insecurity. That’s why we urge Congress to pass this Act, and we’ve joined with more than 20 other companies and organizations to support these updates.

With the help of our diners nationwide, Grubhub has provided more than $50 million to charitable causes in recent years, including the following organizations that support restaurants, promote food security and prevent food waste:

  • The Restaurant Strong Fund gives direct financial support to independently-owned SMB restaurants and their employees. Together, we’ve awarded grants to more than 1,300 restaurants across the country.
  • Rescuing Leftover Cuisine is a food rescue non-profit headquartered in New York City, and Grubhub’s donation is used to purchase meals from minority and women-owned restaurants that are donated back into the community to food insecure families.
  • MEANS Database makes it possible to donate food that would have gone to waste from independent restaurants to local emergency feeding services. Grubhub’s donation is used to purchase left-over food from restaurants in Chicago, Denver, Los Angeles, Las Vegas, Oakland, Philadelphia, Providence and San Francisco that is donated to underserved communities and those most in need.
  • World Central Kitchen has activated a network of restaurants and food service providers to safely produce individually packaged fresh meals that are delivered to those in need. Grubhub’s donation paid restaurants for these meals and handled delivery logistics in New York City.
  • The Food Bank of New York City provides emergency meals to vulnerable New Yorkers impacted by the economic downturn and COVID pandemic.
  • The National LGBT Chamber of Commerce (NGLCC) is the business voice of the LGBTQ+ community and certifying body for LGBTQ+-owned businesses nationwide. In partnership with the NGLCC, we created a grant program for LGBTQ+ and LGBTQ+ ally-owned restaurants.
  • National ACE is the unified voice across the country for the business interests of people of Asian and Pacific Islander descent. Together we created the AAPISTRONG Restaurant Fund, a grant program that supports AAPI-owned restaurants.
  • The United States Hispanic Chamber of Commerce Educational Fund and Grubhub partnered to distribute grants to Hispanic-owned restaurants throughout its national network.

But our job is not nearly done. An estimated 42 million people are expected to experience food insecurity this year alone. By expanding and clarifying the Emerson Act, we can safeguard and build upon our efforts to provide relief to these millions of Americans in our communities.

New Benefits and Protections for Grubhub Drivers in California

The Protect App-Based Drivers and Services Act (a.k.a. Proposition 22) has taken effect in California and some changes are in store for the state’s Grubhub drivers. Starting today, drivers in California will have a number of new benefits and protections, including:

  • Guaranteed minimum earnings of at least 120 percent of California’s minimum wage for active delivery time before tip (or calculated using the local minimum wage if it’s higher). In addition, drivers will receive 30 cents per active mile driven.

  • Healthcare subsidy from Grubhub after a minimum of 15 hours of active driving per week, and a higher subsidy if a driver has 25 or more hours of active driving. The subsidy amount is based on an average monthly premium cost for a healthcare plan through the Covered California marketplace.

  • Mandatory rest periods of six hours after 12 hours of active driving (within a 24 hour period).

In addition to the guaranteed minimum earnings, Grubhub drivers will continue to receive 100 percent of tips they earn. We will also soon be rolling out the ability for diners to add a tip for the driver after an order is delivered.

Drivers in California will soon receive mandatory safety training as well, which will include information about food safety plus defensive driving and collision avoidance techniques. They will also receive information about sexual harassment prevention, and learn how to recognize and report sexual assault and misconduct.

Additional provisions of Prop 22 will continue to take effect in 2021 and further expand protections for delivery drivers and the public. The upcoming protections include occupational accident insurance and additional protections to cover medical expenses and lost income. More information will be released in the coming months.

Statement in support of indoor dining in NYC

“Grubhub strongly supports efforts to allow indoor dining in New York City. Opening doors to local restaurants opens doors to our communities. This step will have a positive and lasting economic ripple effect across the city – helping restaurant workers and families in every community. Equally as important, allowing indoor dining will give New York City nightlife a major shot in the arm. It’s the right policy at the right time.”

Supporting Restaurants and Communities Through COVID-19 and Beyond

These are uncertain times, and while we can’t predict what tomorrow will bring, we recognize our responsibility to do all we can to help keep restaurant doors open. Our business depends on restaurants like the local coffee shop, the burrito joint, the sandwich place, or that great wing spot. And over the last six months, we’ve seen restaurant owners and delivery drivers fill an essential need in their communities.

Put simply: We’ve made it our mission to support restaurants. That’s why we’re sharing an update on our efforts to help our restaurants and communities during this challenging time.

We spent $100 million to support restaurants, drivers and diners.

It became clear early in the pandemic that restaurants needed our support, first as a bridge to federal aid and then to help them survive this time through delivery and pickup orders. In early May, we committed to funding what we anticipated would be $50 million – from the start of April through the end of June – toward driving orders and keeping communities safe. When June came to a close, we had spent twice that amount.

  • $85 million went to driving more orders to restaurants through coupons we funded, reduced diner fees, and increased advertising. This investment stimulated more than $200 million of incremental sales for our restaurant partners.
  • $15 million went to protecting restaurants, drivers and diners. We sent 250,000 personal protective equipment kits to drivers and recognized their efforts with increased pay and more bonuses. We also provided restaurants with tamper-evident stickers giving peace of mind to restaurants and diners that their food would stay secure and untouched in transit.

We gave restaurants more flexibility.

As a demand-generation engine first and a delivery service second, Grubhub is rooted in products and features for restaurants to drive and fulfill orders in the ways that make the most sense for their business. Our established technologies have never been more important, and we complemented them with new offerings that serve restaurants, drivers and diners.

  • Offered since 2013, online ordering links make it easy for restaurants to add online ordering directly to their website. Grubhub does not charge a marketing fee on these orders because the restaurant generated the demand and they should keep the revenue. We’ve facilitated millions of orders to restaurants through these online ordering links.
  • We power websites, apps, loyalty programs and ordering platforms for restaurants through our in-house agency, LevelUp. These products showcase the restaurant’s brand, enabling them to build loyalty and drive delivery and takeout orders however is best for them. In the coming months, with our Grubhub Direct web product, we will also pilot white-label capabilities for SMBs to reach restaurants that previously didn’t have the resources to devote to a customized direct-order website.
  • Grubhub Ultimate now lets diners place in-person orders from start to finish on their smartphone via a QR code instead of touching a kiosk. We’re extending this feature to SMB restaurants without Ultimate by offering a free, custom window sign that includes a QR code for a contact-free pickup ordering experience without any marketing fees. We’ve already sent signs to hundreds of SMB restaurants.
  • Smart Promotions use data to help restaurants grow their orders. Restaurants use the Grubhub for Restaurants portal to specify goals and a monthly Smart Promotions budget, then Grubhub recommends and implements the most effective promotions for their business. We’ve also matched Smart Promotions budgets, allowing restaurants’ investments in these promotions to go twice as far.
    • We continually put data in the hands of restaurant owners through our Insights Dashboard on the Grubhub for Restaurants portal. The dashboard gives a detailed look at daily and weekly sales, orders, menu item performance metrics and trends, all in one place, with new data points frequently added to the dashboard based on feedback from restaurant partners.
  • We implemented contact-free delivery and curbside pickup to keep our restaurants, drivers and diners safe during the pandemic. Contact-free delivery is the default option for diners at check-out, and restaurants can offer curbside pickup to diners and drivers to prevent groups from gathering in the restaurant.

We dedicated more than $7 million and counting to local communities.

Since 2018, our Donate the Change product feature has allowed diners to support organizations that help those in need across the nation by rounding up their total to the nearest dollar. Our diners have collectively donated over $1 million per month through Donate the Change, enabling our charitable partners to make a big impact.

We established the Grubhub Community Relief Fund to provide financial relief for our community, including restaurant partners and drivers. More than $7 million donated by Grubhub and our diners is going to charitable organizations that support communities impacted by COVID-19. These include:

  • The Restaurant Strong Fund gives direct financial support to independently-owned SMB restaurants and their employees. Our donation goes to restaurants and their employees in Chicago, Boston, Philadelphia, New York City and Detroit.
  • MEANS makes it possible to donate food from independent restaurants that would have gone to waste to local emergency feeding services. Grubhub’s donation will be used to purchase left-over food from restaurants in Chicago, Los Angeles, Philadelphia and Providence.
  • World Central Kitchen has activated a network of restaurants and food service providers to safely produce individually packaged fresh meals that are delivered to those in need. Grubhub’s donation paid restaurants for these meals and handled delivery logistics in New York City.
  • The Food Bank of New York City provides emergency meals to vulnerable New Yorkers impacted by the economic downturn and COVID pandemic.
  • The Boys and Girls Club of America offers critical services for young people across the country and much-needed childcare services for essential workers. Grubhub’s donation is supporting the costs of re-opening key childcare centers in New York City.

We also took steps to feed frontline workers through partnerships with Verizon and Hellmann’s Food Relief Fund. Tens of thousands of meals, prepared by local restaurants, were given to healthcare workers in New York City hospitals free of charge. These programs helped both restaurant workers and hospital staff, and leveraged Grubhub’s delivery network to get food from restaurants to the hospitals.

Our work is not done. We’re committed to continuing to add features, products and resources that help our restaurants weather this crisis and support their communities. Restaurants have trusted us as a partner for more than 20 years – we look forward to serving them for the next 20.