Over the last year, cities across the U.S. and Europe have seen a rapid rise in the number of dark stores — mini-warehouses stocked with groceries to be delivered in 15 minutes or less. Operated by well-funded startups such as Getir, Gopuff, Jokr and Gorillas, dark stores are quietly devouring retail spaces, transforming them into minimally staffed distribution centers closed to the public. In New York City, where seven of these services are currently competing for market share (including new entrant DoorDash), these companies have occupied dozens of storefronts since July, with expansion plans calling for hundreds more in that city alone.
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While many of these new delivery companies have avoided some employment issues by hiring workers full-time, they haven’t escaped unscathed. Philadelphia-based Gopuff reportedly slashed the pay of its gig workers below minimum wage this summer less than a month after its latest round of VC funding. Several hundred of its drivers across the country staged a one-day strike in late November demanding a $20 minimum wage, a guaranteed number of working hours and protection from unfair termination. Whether or not workers like these are legally considered full-time employees or contract workers — a point of ongoing legal dispute in California — this tension is a perfect example of how cities need to balance the benefits of increased convenience for those who can afford it against larger societal costs.
From the article:
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