Inflation leads to fewer tips for delivery drivers

·2 min read

Amy Adams is an Instacart and Door Dash driver. She is also a foster and adoptive mother.

“Currently, we have five kids,” she said.

Amy picks up work on Door Dash and Instacart over the summer while her wife is not teaching to make extra cash.

“It’s one of those things where, like, if I need extra money or we’re going on a trip, it’s really nice to be able to fall back on,” Adams said.

But recently, she’s noticed something: “I know drivers who are literally trying to find more full-time work elsewhere because they’re not making enough. It’s not even covering their gas.”

Inflation is impacting how people use the service.

“When I’m able to get those larger tips or whatever, it really makes my day shorter,” Adams said.

Some drivers report fewer people are tipping as costs rise. Action News Jax went to place an order and found a $12 order could end up costing over $18 before tip.

Action News Jax spoke to an economist who says it’s an unfortunate but expected trend.

“If people don’t tip, then of course the income for Door Dash and Uber and the other drivers will go down. It’s just math.”

Twenty-two percent of people in Florida work for these services — the highest concentration in any state.

“It is what I would call a significant minority of the economy, and the trend is certainly towards more.”

Uber has added 640,000 new drivers since 2021. Wiggins says even if people pick up the job, it probably won’t make enough of a difference to cover inflation.

“It depends on, really, what you were getting paid. Is your income keeping up with inflation? A lot of times, the answer is a no.”

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