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I don't know how what the actual agreement was, but couldn't this be very reasonably structured as a form of insurance/derivative? Like, if I'm a pizza delivery guy, I have some expected stream of tips with a variance. If the total tips I receive in a year is usually in the range $300 - $1000, it may be that I'd much rather have a guaranteed $500 than take the risk, so I might buy insurance from a 3rd party (doesn't have to be my employer), who pays me $500 in exchange for the rights to my tips. This doesn't seem immoral/deceptive to me, and is probably financial equivalent to the DoorDash model.



Depends on whether the delivery person has access to the information about the tips and whether they can opt out.

If they don't see the different payouts that come with different customer tips and they can't opt out, it's not very equivalent.


Why does it depend on whether the delivery person can opt out of tip-sharing? Those are contractual terms just like any other contractual terms.


It matters for the comparison to a financial product. It if is a mandatory term of employment, it isn't comparable to a financial product.


I agree this is potentially relevant, thanks!




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