July 3rd, 2025
Higher Delivery Costs Likely: Platforms must now pay minimum wage for active delivery time, which may lead to higher fees for restaurants.
Mandatory Tip Transparency: 100% of tips must go directly to drivers.
Two Weeks’ Notice Before Driver Deactivation: Platforms must provide advance notice before suspending drivers.
Local Dispute Resolution Improves Accountability: Disputes must be handled within Ontario, potentially leading to faster issue resolution for restaurants.
Impact on Menu Pricing Strategy: Restaurants may need to adjust delivery menu prices to offset increased platform costs.
Opportunity for Direct Ordering Growth: Transparency pressures on platforms may make it easier to promote and grow direct ordering channels.
Greater Importance of Platform Choice: Restaurants should now choose delivery partners based on service quality and fairness not just commission rates.
The Digital Platform Workers’ Rights Act is reshaping the gig economy in Ontario and bringing new rights to workers and added responsibilities for platforms. For restaurants, this presents both challenges and opportunities. While higher platform fees may pressure margins, the potential for better delivery performance and improved customer trust could help businesses thrive if they adapt smartly.
To stay competitive, restaurant owners should regularly assess delivery costs, re-examine platform relationships, and maintain clear communication with customers around tipping, pricing, and delivery expectations.
Platforms must give 100% of tips to the worker, with no unauthorized deductions, so restaurants should ensure clear communication to customers that tips go directly to drivers.
Not directly as delivery fees are set by platforms, but restaurants can adjust their menu pricing or offer exclusive deals on direct ordering channels to manage costs.
Yes, this is a good time to reassess platform partnerships based on reliability, driver treatment, support responsiveness, and total cost of service.
