- Delivery contractor Point Pickup says it never stopped paying out 100% of tips to drivers.
- The company says a change in how it communicates pay caused confusion.
- “ABSOLUTELY NOTHING HAS CHANGED from our original payment model,” the company said.
Editor’s note: Motherboard’s report on the Point Pickup app has significantly changed since it was published. This story has been updated to reflect those changes.
A delivery contractor that works with retailers like Walmart and Kroger has caused confusion among some drivers by changing how it communicates their pay.
In a story by Motherboard, some drivers for the company, called Point Pickup, claimed they earned less after the change was made. Some shared unproven suspicions that the company had changed its payment model so it could essentially take some of their tips.
But Point Pickup said nothing has changed about how it pays drivers.
“We apologize for the recent confusion that was caused by the change to the explanation of compensation in our Driver App,” the company said in a statement on Twitter. “We want to be clear that ABSOLUTELY NOTHING HAS CHANGED from our original payment model. You still RECEIVE 100% OF ALL TIPS.”
In a statement to Insider, a spokesperson for the company said that over the last six months it has shifted to a “dynamic market pricing technology that informs individual order pricing based on specific market conditions as they fluctuate.”
This technology is meant to give drivers an accurate guaranteed minimum payout “so that drivers can make better decisions on accepting orders,” the company said.