Oct. 18, 2021 "Instacart 'shoppers' baffled by shrinking paycheques": Today I found this article by Dianne Buckner on CBC News:
Delivery people who work with Instacart, the app that collects online orders and drops them off at customers' homes, say it's impossible to understand how the company calculates what they're paid, but that one thing is clear — their earnings have fallen significantly over the last few months.
"I've probably analyzed 3,000 to 4,000 batches of orders from Instacart, just trying to figure out how they establish their pricing model, and I can't," said Daniel Feuer, 52, of Whitby, Ont., one of six Instacart delivery people from across the country who spoke to Go Public.
"I'm making much less money, and it's not about the number of orders going down,
it's about the actual payment for those orders decreasing."
He's not alone. Private Facebook groups, which include over
7,000 of the more than 20,000 Instacart workers in Canada,
are loaded with complaints about pay.
Starting in July, comments about specific batches of orders began to proliferate, with descriptions of the fees as "gross," "a trap" and "ridiculous."
All six "shoppers," as the company calls them, who spoke with Go Public say earnings have fallen.
Where once they made as much as $40 to $50 an hour,
they now say it's often less than minimum wage.
Instacart considers them independent contractors, however, so shoppers are not covered by minimum wage legislation.
They are paid $7 to $10 for a "batch," which can include as many as three orders.
They are reimbursed for mileage,
but that is "incorporated into a shopper's batch pay," according to Instacart.
The private, California-based company has been a major beneficiary of the pandemic's boom in delivery services.
Financial analysts estimate Instacart is worth $50 billion US.
It operates in 5,500 cities in North America, and has signed up half a million shoppers in Canada and the U.S.
According to those who spoke to Go Public,
earnings started to slide weeks ago without notification,
and they can't get a satisfactory explanation from the company.
One shopper asked CBC News to conceal his identity, as he fears the company will "deactivate" him if he complains publicly.
"Mark," as he'll be called in this article, lives in Western Canada and says he supports his wife and three children with his Instacart earnings.
He had been earning over $1,000 a week on average for over a year,
making $25 to $30 an hour,
but said the fees offered currently are so low,
many aren't even worth his time to take.
During a recent week he made under $400.
"It affects me in a very hard way," said Mark, 42.
He says his earnings now average "maybe five or six dollars an hour,
considering that you still have to pay for the expenses for your vehicle."
Despite making numerous calls to the internal Instacart shopper support line to help understand what is happening to fees,
he says he can't get a satisfactory clarification.
"Every time they would say that it's calculated by 'the system' and they would not give me any details," Mark said.
Like many app-based companies Instacart uses an algorithm to calculate what it pays at any given time.
In a statement to Go Public, a spokesperson said many factors are taken into account,
including the current level of demand,
mileage,
the number
and weight of items,
and the retailer.
The spokesperson says Instacart hasn't changed its earnings structure since February 2019.
That change came after Instacart faced a U.S. class-action lawsuit for using customers' tips to subsidize what it paid shoppers.
Since then, it says tips belong "100 per cent" to the workers.
Instacart insists there is no reason Canadian shoppers should be experiencing a drop in pay.
"Shopper earnings in Canada increased at the onset of the COVID-19 pandemic and have stayed higher than pre-pandemic levels since March 2020," the spokesperson said, adding that earnings may "fluctuate" due to a wide variety of factors.
She said that, in times of high demand, those workers may be eligible for additional incentives.
Shoppers confirm that if an order is not being accepted by others, a "boost" of $2 to $12 may be added to the fee.
"The satisfaction of our shopper community continues to be incredibly important to us," the spokesperson said, noting that satisfaction is measured, and is "among the highest it's ever been."
Numbers tell different story
But shoppers who spoke to Go Public say there's no question they are making less money.
Feuer has been tracking every detail related to his pay since he began, creating a spreadsheet that he shares with other shoppers, so they can track their Instacart earnings as well.
"This red line represents minimum wage," he said, pointing to a chart of his hourly income over the past year, even though Instacart doesn't pay by the hour. In Ontario, minimum wage is $14.35 per hour.
"You can see that in the last six weeks, the income has been below the minimum wage from Instacart, and has been trending downward since June," he said. Feuer estimates he now averages $8 to $9 an hour.
Instacart points out that shoppers can choose which orders they want to take,
and see what each will pay before accepting it.
However, the contract that shoppers agree to via the app specifies that "Instacart reserves the right to change the rates schedule at any time."
It also says the company will provide shoppers with notice of any changes in advance,
but the shoppers who contacted Go Public said they've heard nothing.
Fortunately for these gig workers, Canadian consumers have been generous with tips throughout the pandemic, which has helped make ends meet.
Feuer says his data, which includes tips, is further confirmation that what he's paid by Instacart has declined.
"My tips used to be about 25 per cent of what I made. Now tips make up 50 per cent of my income," he said.
He says another, less-well-known delivery app called Cornershop makes it much easier for delivery people to understand how they're paid.
"Not knowing how my pay is calculated is extremely frustrating," said Feuer. "And it's disrespectful."
American shoppers call for action
A California-based group of 14,000 Instacart shoppers, called the Gig Workers Collective, is demanding better treatment by the company, including measures that would boost pay.
Lead organizer and shopper Willy Solis says, with an algorithm determining shoppers' earnings, Instacart is able to shroud those calculations in mystery.
"The algorithm is what's making Instacart a ton of money.
And basically they just sit back and watch the register ring
while we're out here trying to figure out a way to make our next car payments," he said.
The group has launched a social media campaign,
asking consumers to delete the app until their demands are met.
This past weekend, they staged a walk-off, asking shoppers to decline all orders from customers, to put more pressure on the company.
Solis says the group is in the process of formalizing a chapter in Canada. "We expect our membership to continue to grow," he said.
He says he's often asked why he doesn't simply quit Instacart if he's so unhappy with the company's policies.
"I could go off and get another job," he said.
"But at the end of the day,
that will leave a whole host of workers,
including new workers that have no idea what the company is about,
to be exploited
and to be taken advantage of."
Solis isn't sure why Instacart hasn't fired him, and in Canada, Feuer hopes he can also avoid that fate, despite his decision to speak to Go Public.
He says he enjoys helping people
and often gets positive feedback from the clients he serves.
"There's a lot of good things from the customer's perspective,
but they would never treat any of their executives
or any of their regular employees the same way they treat the half million contract workers," he said.
Instacart 'shoppers' baffled by shrinking paycheques | CBC News
Jan. 7, 2022 "Hidden markups, missed sales on Instacart leave customers feeling 'ripped off'": Today I found this article by · on CBC News:
While many Canadian consumers likely know to expect delivery and service fees when ordering groceries on Instacart,
what they may not know is they could be paying as much as $2.50 more per item in hidden markups
— and some retailers say that Instacart is keeping all of it.
A Marketplace investigation into groceries being sold on Instacart from Loblaws, Costco and Walmart found that
shoppers at Loblaws and Costco are paying about 10 per cent more per grocery item beyond the itemized delivery and service fees,
as well as missing out on advertised in-store specials and sales at Loblaws.
With a valuation of $39 billion, the third-party delivery app — which allows users to hire a "shopper" to pick up their groceries at a variety of stores — has seen delivery sales grow over the pandemic.
But what's less clear is just how much consumers
— some of whom live with disabilities and depend on Instacart for access to food
— are paying for that convenience.
To find out, Marketplace compared
the costs of purchasing identical grocery orders at each store on both the Instacart app
and in-store.
While the prices at Walmart were the same in store as they were on the Instacart app,
Marketplace producers discovered substantial hidden markups at Costco and Loblaws.
While every Costco grocery item the team looked at was marked up, the only grocery item that didn't have a hidden markup at Loblaws were the cucumbers.
In one example, Marketplace
paid $12.99 in store at Loblaws for President's Choice Blue Menu lean Italian beef meatballs;
on Instacart, the price was $15.35 — a markup of $2.36.
"I'm thinking that that's 'tief.' That's the Caribbean word for being ripped off, so I'm very surprised and I feel misled," said Joanne Dominico, a mother and small-business owner who helped Marketplace with the test.
In total, Marketplace paid $74.16 more for the same order of 20 items through Instacart than when purchasing inside Loblaws;
the in-store total was $ 242.49,
while on Instacart the receipt for the identical items totalled $316.65.
But while $46.17 of those fees can be attributed to the company's
itemized service and delivery fees,
taxes
and a default five per cent tip,
the markups on grocery and sale items
— which totalled an additional $27.40
— were not disclosed on Instacart's receipt.
In one instance, Marketplace paid $4.01 more for a block of butter that was promoted as an in-store sale at Loblaws,
but cost $8 on the app.
"I could have bought a whole new chunk of butter for $4," said Dominico.
Loblaws does not offer in-store sales and promotions on Instacart.
While shopping at Costco on Instacart, Marketplace found similar hidden markups.
In one example, the team paid $2.50 more on Instacart for Kirkland Signature Organic lean ground beef,
which was priced at $25.99 in store
but $28.49 on Instacart.
Instacart says it notifies customers 'prices vary relative to store prices'
In emails, Costco and Loblaws told Marketplace that while they set the prices,
Instacart keeps all of the profit from pricing differences,
in addition to the delivery and service fees.
While Instacart confirmed that the retailers are responsible for setting the prices,
it did not respond to questions about who receives the money from the markups.
In an email, the company said that "where there are item markups by a particular retailer,
we notify customers that prices vary relative to store prices,
so they can make clear and informed purchasing decisions."
But not everyone finds that notification to be clear enough.
The extra fees are acknowledged in the Instacart app through a small pricing disclaimer, but customers have told Marketplace it can be easy to miss,
and they don't know how much more they are paying for each item.
'I didn't see any mention of the higher prices'
Erin Matthews reached out to Marketplace after ordering groceries through Real Canadian Superstore (a Loblaws company) on Instacart. Matthews had broken her ankle and needed groceries delivered to her Calgary home.
Her Instacart shopper accidentally left the in-store receipt with the shopping;
the in-store bill was for $177,
but Matthews had paid $226 on Instacart.
After determining service and delivery fees, tax and tip,
Matthews was surprised to find almost $30 unaccounted for.
"I was so angry," Matthews said. "I didn't see any mention of the higher prices online.
When I called Instacart, they told me that the shopper shouldn't have left the receipt in the bag."
Dominco, who helped with Marketplace's test, wants to see Instacart be more transparent with its pricing.
"Just let me know and then I can make the choice. But when I don't know, that's when I feel disappointed," she said.
'We call it the disability tax'
The extra fees may be surprising for some of those who rely on Instacart for their regular grocery deliveries, but even more so for people with disabilities, who frequently rely on the service to meet their essential day-to-day needs.
"I mean for us … it's an essential service and, you know … we have to pay through the nose to use it. So it's not really fair," said Martin Courcelles, a frequent Instacart user who is blind.
Courcelles and his wife, Erin, who uses a wheelchair, appreciate the convenience of the service, but are frustrated by Instacart's fees and markups.
"We call it the disability tax," he said.
Higher prices might also place the service out of reach for more vulnerable clients, Courcelles worries, especially in light of a harsh economic climate amid COVID-19.
"A lot of people with disabilities aren't working these days.
And this might be the only way that they can get food in the house," he said.
"And for them, you know, all these extra costs, it builds up after a while, right, and some might not be able to afford it."
It's a sentiment shared by officials at the Centre for Independent Living in Toronto (CILT), who also note that many people with disabilities are living in poverty and at higher risk of contracting COVID-19.
"For some folks, their only option is grocery delivery through an app,
but the high fees can reduce their food budget,
and this means less food on their table,"
said the CILT in a statement.
"With food prices set to rise in 2022, yet more disabled Canadians will become more food insecure if there's no reduction in delivery app prices or a discounted option of some kind."
Sylvain Charlebois, the senior director of the Agri-Food Analytics Lab at Dalhousie University and a professor studying food security, says that as the food delivery market continues to grow, companies like Instacart will have to look at making their services more accessible to those who have no choice but to order their food online.
Charlebois says for those living with physical or intellectual disabilities, or people who need to quarantine, "service charges are simply a regressive tax."
"As we learn to live with viruses and other unfortunate public health challenges,
access to online food delivery services can be an asset only if they don't penalize those who have no other option, temporarily or permanently."
No price break for those with disabilities
Currently, Instacart does not offer reduced delivery prices for those living with disabilities, but the company says it does offer a dedicated phone line for clients who have disabilities and need more assistance.
Charlebois thinks a reduction in fees for people with disabilities or mobility issues is long overdue.
"Just on the basis of compassion, absolutely. I think it should have been done by now," he said.
With the food delivery market poised to reach $20 billion in Canada by 2025, the time to act is now, says Charlebois.
"I think it's the right time to have that conversation as the market grows," he said.
"If you don't figure this one out, a lot of people will be in big trouble."
Walmart, on the other hand,
charges only in-store prices on the Instacart app
and allows consumers on the app to take advantage of in-store sales for about the same fees as ordering through Walmart directly.
Customers can look for stores that display "in-store pricing" or "everyday store prices" on Instacart to shop for groceries without hidden markups.
But they should check the fine print, as not every retailer offers advertised in-store sales or promotional prices on Instacart.
Instacart says that "when possible" it works with companies to ensure the prices on the app are the same as in the store and that customers can review their pricing policy for more details, adding that in North America more than half of Instacart retailers offer same as in-store pricing through Instacart.
Costco and Loblaws say that customers who order directly from them will get a better deal.
Costco's SameDay Service, powered by Instacart, has no added delivery or service fees.
However, there are markups on grocery items.
Costco says customers can take advantage of in-store sales and discounts on Instacart as well as through Costco's SameDay Service.
Loblaws customers can use PC Express where available and receive in-store pricing and sales, and orders can be picked up for a small fee or delivered for $9.95.
As for hidden fees, Instacart maintains that it's clear about the possibility of price differences in the app, and says it's working to add more features to make grocery shopping more affordable for everyone by implementing features like reduced fees and free delivery on orders placed 24 hours in advance.
In the meantime, shoppers like Courcelles who depend on Instacart will have no choice but to pay a premium.
"During winter, it's pretty much the only service that we can use to get food into the house," he said. "It's the only option we have at this point."
Clarifications
- Costco provided this additional information after publication: “Whether or not a discount is shown on the Instacart site, Costco will apply any in-store discount that affects any item the Instacart shopper purchases regardless of whether or not the discount is shown on the Instacart site.”Jan 07, 2022 2:05 PM ET
This is from my Mar. 2021 blog post:
"#MeToo movement becomes #WeToo in in victim-blaming Japan"/ "Outrage as women in Japan told not wear glasses in the workplace"
Aug. 17, 2020 Saying: I found this on Facebook:
"You never look good when you are trying to make someone else look bad."- Unknown
Cham: Sometimes people need to be exposed for who they are hahah or maybe I should stop being petty
Tracy Au: There's a difference between trying to make someone look bad, and exposing them for who they are. It's like those #MeToo accusers and victims, they are plainly telling everybody about the perpetrators. They're not trying to make them look bad.
https://badcb.blogspot.com/2020/08/job-articles-wetoo-gender-gap-done.html
The other 2 blog posts of the week:
"Hudson’s Bay hearing to get charter auction approved adjourned over new bid"/ "Calgary’s historic Hudson’s Bay building at risk, says national charity"
https://badcb.blogspot.com/2025/10/hudsons-bay-hearing-to-get-charter.html
"Everest Toys placed into receivership after bank ends lending relationship: docs"/ "Ikea to close Scarborough Town Centre store next year"
https://badcb.blogspot.com/2025/10/everest-toys-placed-into-receivership.html
Oct. 14, 2025 "Price of a promise: Chinese family returns home broke after paying $40K seeking Canadian residency": Today I found this article by Aishwarya Dudha on CBC:
TingTing Biao remembers the moment she realized she lost everything, including tens of thousands of dollars in savings, on an immigration scheme that left her broke and traumatized.
A donated loaf of bread was all she could offer her child.
“My daughter eats one meal in the whole day,” Biao said, her voice trembling during an interview in Saskatoon this August.
Instead of a new life in Canada, Biao is now back in China warning others about what happened — a dream that turned into a nightmare.
In January, Biao and her husband arrived in Canada on tourist visas with their six-year-old daughter, intending to explore their options for moving here permanently.
She signed a contract with Jun Su and June HR Solutions in Saskatoon. Biao said she was referred to the immigration company by a friend and believed that an agent who is also of Chinese descent would be trustworthy.
Su, gave Biao immigration advice and offered what looked like a clear path to permanent residency — for a steep price tag of up to $110,000. Biao ended up paying $40,000 before walking away.
An expert told CBC that immigrating to Canada shouldn’t cost nearly that much; it typically costs between $5,000 to $10,000 to hire an immigration consultant for a process similar to Biao’s.
Su is not a licensed immigration consultant.
'Wild West'
Kurland reviewed Biao’s documents and said her experience reveals a bigger problem of a major lack of oversight in the regulation of immigration agents.
“It's an open Wild West when it comes to consultants. People can charge whatever they want,” Kurland said.
“You have to protect these people.
They are vulnerable.
They clearly do not know how our system works
and what things really cost.”
This is from my Mar. 2021 blog post:
"#MeToo movement becomes #WeToo in in victim-blaming Japan"/ "Outrage as women in Japan told not wear glasses in the workplace"
Aug. 17, 2020 Saying: I found this on Facebook:
"You never look good when you are trying to make someone else look bad."- Unknown
Cham: Sometimes people need to be exposed for who they are hahah or maybe I should stop being petty
Tracy Au: There's a difference between trying to make someone look bad, and exposing them for who they are. It's like those #MeToo accusers and victims, they are plainly telling everybody about the perpetrators. They're not trying to make them look bad.
https://badcb.blogspot.com/2020/08/job-articles-wetoo-gender-gap-done.html
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