Uber and DoorDash Ramp Up Spending in Local Election Showdowns

While certain City Council members aim to introduce job protection measures and paid sick leave for food delivery personnel, major corporations like Uber and DoorDash are investing substantial funds into influencing the upcoming Democratic primary scheduled for next month. They are supporting current officeholders, challenging some incumbents, and pouring resources into races where positions are up for grabs.

The surge in spending by technology companies comes after a pioneering minimum wage rate in the country For food delivery workers, following the Council’s analogous program for ride-hail drivers. These regulations cover those aspects. withstood legal challenges From both organizations, this has encouraged Council members to aim for additional gains.

One of the recipients of independent political expenditures is Maya Kornberg, who is campaigning to unseat current Council member Shahana Hanif from Brooklyn. Hanif is the primary sponsor of a bill aimed at addressing this issue. extend the city’s ordinance for compensated sick leave to provide coverage for gig workers and be one of the sponsors of a bill aimed at prevent the platforms from disabling drivers without warning.

The Uber NY PAC has disclosed expenditures exceeding $100,000 on online advertisements and mailings endorsing Kornberg, according to documents filed with the state elections board. This amount is included within their total expenditure of $1.3 million aimed at supporting contenders across 11 distinct City Council districts. Kornberg, a expert Regarding topics of misinformation and financial influence in political spheres, they did not promptly reply to a request for their input.

In the meantime, DoorDash has set up a new standalone political action committee named Local Economies Forward NY and informed Crain’s about it. planning to allocate up to $2 million On impacting council elections for the June 24 vote.

Among other candidates getting a hand from the Uber political spending group are Mercedes Narcisse and Darlene Mealy of Brooklyn, Carmen De La Rosa and Julie Menin of Manhattan and Eric Dinowitz of The Bronx.

“Politicians have allowed costs to skyrocket for drivers while making it harder for them to earn a living,” Uber Senior Director of Public Policy Josh Gold said in a statement. “We are supporting candidates who foster policies that improve affordability and access to transportation.”

Hanif stated that Uber is "meddling" in her election due to her backing of a bill proposed by Councilmember Shekar Krishnan from Queens. This legislation aims to prevent these platforms from suspending workers for over 72 consecutive hours without valid reason. According to the workers, this happens occasionally. unable to access the applications When they attempt to log in.

Uber has acknowledged blocking drivers By signing in when ride requests are scarce, they argue that this is essential to prevent the company from paying drivers mandatory hourly wages as stipulated by the Council’s minimum pay regulation, even though fewer drivers are needed on duty at those times.

Hanif organized a gathering on Wednesday night to protest Uber's extensive advertising campaign. "District 39 is not up for grabs," she stated during an interview. "My constituency is strongly progressive and socially aware, recognizing Uber's efforts to influence this election. They're resorting to these tactics because I've backed gig workers."

Hanif added, "In my view, this is merely an instance of corporate greed attempting to remove a politician who supports workers and working families."

Labor leaders from the food delivery sector stated that these companies should allocate the funds they spend on political campaigns directly to their employees instead—highlighting the NYPD’s contentious new rule allowing officers to issue criminal tickets for e-bike violations one of the major risks for delivery workers nowadays.

"These platforms consistently prioritize their interests over ensuring safer and improved work environments for their employees," stated Sergio Ajche, a delivery worker and co-founder of Los Deliveristas Unidos, in Spanish.

"They have developed a system that functions exceptionally well for their benefit, yet in truth, under the pretense of safeguarding our 'autonomy,' they have avoided considerable accountability for many years," Ajche noted.

Bhairavi Desai, who serves as the executive director of the New York Taxi Workers Alliance—a union that advocates for taxi operators, private hire vehicle drivers, and livery services—stated that Uber embodies "the worst aspects of American politics" and demonstrates "corporate America’s excessive influence."

The notion that a business battles against raising the minimum wage for drivers and doesn’t allow them the independence to contest termination suggests this company prioritizes profit over the welfare of its employees.

Backing the Next Speaker ?

Although the Taxi and Limousine Commission along with the Department of Consumer and Worker Protection testified In support of the anti-lockout legislation from September, the proposal hasn't moved forward for a vote. Uber provided testimony opposing the bill, with Gold stating that the company typically suspends accounts solely under exceptional conditions, such as when a driver fails to verify their identity or in situations involving harassment.

Uber emphasizes openness and typically offers drivers support and warnings prior to suspending their accounts," he stated during his testimony. "These measures include notifying drivers about potential account deactivation risks, allowing them to rectify issues and prevent loss of access.

The company is investing in several candidates, including one sponsor of the bill, Councilmember Crystal Hudson from Brooklyn. The PAC has listed her alongside Dinowitz as receiving $250,000 for advertisements. Gold pointed out this information. has so far spent $31,067 and $37,220 for each, respectively.)

"If Uber wishes to back one of the strongest supporters of taxi workers and labor unions among candidates seeking re-election, it seems that would be Uber's issue," responded Jacob Hunter, Hudson's campaign manager, in an official statement to THE CITY.

Another contender benefiting from Uber’s support is De La Rosa; he is the primary sponsor of legislation backed by the ride-hailing sector—a bill aimed at this issue. dramatically slash The level of insurance mandated for taxi, ride-share, and livery drivers is set to decrease, potentially reducing expenses for these professionals. Advocates believe this might also make the field more appealing to insurers. However, the Taxi Workers Alliance, who disagrees with this legislation, argues that it could lead to higher costs for drivers due to increased liability.

During an interview, De La Rosa mentioned being "taken aback" upon receiving a mailing funded by Uber backing her re-election bid. She stated that she intends to keep advocating for gig workers.

"As an advocate for workers' rights, both within the Council and in the state Assembly with a focus on prioritizing individuals, I believe my track record is strong and unambiguous," stated De La Rosa, who leads the Council’s labor committee. Uber has invested $57,000 in promotional mailings supporting her campaign.

The firm has likewise invested $45,561 in promotional materials backing Julie Menin, the chair of the workers and consumer protection committee, who is rumored aiming for the role of Council Speaker next year.

Menin and Dinowitz did not reply to requests seeking their comments on Uber's expenditures.

DoorDash’s political action committee has committed to backing Menin and another legislator expected to run for speaker, Kevin Riley from The Bronx. They also plan to support four candidates vying for positions vacated by term-limited councilmembers: Elsie Encarnacion in Upper Manhattan and The Bronx, Ty Hankerson in Southeast Queens, Virginia Maloney in Midtown Manhattan, and Justin Sanchez in The Bronx.

We're delighted to join hands with local leaders aiming to boost New York's local economy and assist ordinary residents," stated John Horton, DoorDash’s director of North American public policy. "Repeated independent polls indicate that this city is prepared for practical approaches to complex issues, and we're pleased to back candidates who are ready to provide these solutions.

'Very Upset and Quite Disheartening'

Ligia Guallpa, who serves as the executive director for the Workers Justice Project—a group that provides guidance and support to delivery workers—stated that these corporations' political contributions represent an additional method through which they deploy their monetary assets "to suppress workers' requests."

"It's extremely unfortunate and disheartening to see these multi-billion dollar companies invest millions into local politics rather than using that funds for improving street safety, securing a livable wage for employees, or even considering contributions towards workers' compensation," stated Guallpa.

The Supreme Court's 2010 decision in Citizens United decision permits external organizations to collect and use unrestricted amounts of money to affect elections, as long as they avoid collaborating with the candidates or their campaigns.

Although contributors to federal super political action committees can stay unnamed, leading to the phrase "dark money," New York City mandates the revelation of donors. This includes listing the primary three donors on election materials such as mailings and other forms of communication with voters.

Although the contest against Hanif, a democratic socialist and the city’s first Muslim council member, is broadly viewed as referendum of her support of Palestinians as the siege on Gaza continues, the primary has attracted spending from Wall Street and real estate groups.

Some pro-housing groups have committed substantial funds amounting to six figures to back the 34-year-old incumbent, who has additionally garnered backing from a wide array of labor unions and progressive politicians.

Although she hasn't entered the mayor's race yet, U.S. Representative Alexandria Ocasio-Cortez (D-The Bronx/Queens) remains absent from the Democratic primaries. endorsed Hanif Earlier this month. Hanif also receives backing from two Democratic mayoral candidates: Assemblymember Zohran Mamdani from Queens and City Comptroller Brad Lander, who was her previous employer and preceded her in the Council’s 39th District.

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