India, Sept. 22 -- DoorDash Inc (DASH) has agreed to pay $131.5 million to settle a New York City investigation into allegations that the food delivery company underpaid workers or delayed their payments.

The settlement includes $16.7 million in penalties and nearly $115 million in payments to about 264,000 delivery workers, known as Dashers.

About $83 million of the worker relief will address a dispute over how DoorDash calculated compensation for workers who remained logged into the app and available for deliveries but were not actively completing orders.

Another $12.3 million will cover payments that were missed or delivered days or weeks late. DoorDash said roughly $6.6 million in wages never reached workers and another $5.7 million ...