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california - Los Angeles County - Jobs & The Economy
Food Delivery Commission Cap Ordinance
Purpose
- During the pandemic, cities across California took a position to place temporary commission caps on food delivery platforms at 15%. Now that most pandemic restrictions have lifted, cities, including Los Angeles, are looking to make these commissions caps permanent.
Position
- Recommended Position: Oppose
- As evidenced by a study from the Progressive Policy Institute, price controls result in higher prices,
longer wait times and poorer services for customers, fewer orders, and less revenue for restaurants. Food delivery systems connect three different groups: drivers, restaurants, and consumers. Imposing permanent price controls on one side of the market will upset this balance and make economic recovery harder for small businesses.
Read the past ordinance. Click Here