A leap in U.S. unemployment has thrown a spotlight on one type of work in high demand during the coronavirus pandemic: Gig work delivering groceries, meals and packages. But those jobs also come with the risk of exposure to the virus.
The biggest hiring companies? Delivery services for groceries and other essentials including San Francisco-based Instacart, Target-owned Shipt, Philadelphia-based startup goPuff and New York-based FreshDirect. Amazon is also adding independent contract drivers through its Flex program.
Beyond gig jobs, Domino’s, Pizza Hut, Papa John’s and Little Caesar’s are also hiring more delivery drivers.Some delivery work has become more lucrative because of a rise in orders and bigger tips. Instacart and Shipt say tips have risen 30% on average in recent weeks. DoorDash says courier earnings have increased by $5 per active hour compared to this time last year.
Those considering gig work should do their research. Does the company offer a guaranteed minimum per order? Does that guaranteed minimum include tips? Does the app default to a certain tip percentage?Some Shipt workers don’t like a new pay structure being tested in some markets that takes into account the time and distance it takes to complete an order and other factors.
Julie Sweder, who has worked part-time for Shipt for more than three years in Detroit, said she often has to find substitutes for a third of items on her orders, requiring more painstaking communications with clients, especially those using the service for the first time. But Sweder, who was made available by Shipt for an interview, said it is taking fewer jobs to reach her weekly earnings goal of at least $300 because the tips are larger and orders are bigger.
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