Grubhub bites back

Grubhub is launching a petition on Thursday to end food-delivery commission caps that have been imposed during the pandemic by the New York City Council, The Post has learned.

The food-delivery giant, which also owns Seamless, is taking out targeted digital ads in the districts of council members who support the caps, includingSpeakerCoreyJohnson,asourcesaid.

The ads call the commission caps a “food delivery tax” and claim they will result in New Yorkers paying more for their takeout. The ads warn that restaurants will get fewer orders and delivery workers will earn less.

City Council members held a hearing last week to discuss extending the cap into next year, limiting Grubhub, Uber Eats and others to charging restaurants just 20 percent of a takeout order, down from commissions as high as 40 percent.

The restaurant industry supports the cap, with some operators testifying at the hearing that it has saved them thousands of dollars since it was implemented in June.

The ads will target the districts of council members Mark Gjonaj, chairman of the small business committee that spearheaded the crackdown on the delivery companies; Speaker Johnson and Councilman Francisco Moya, a Grubhub spokesperson told The Post.

Grubhub argued at the hearing that commission caps raise consumer fees. It claims that in the cities where caps were implemented, consumers are paying more for takeout. It didn’t offer evidence to support the claim.