Amazon Flex Drivers File Claims for Misclassification
Thousands of Amazon Flex drivers have filed claims alleging that they were wrongly classified as independent contractors instead of employees. The drivers, represented by lawyers, are seeking compensation for unpaid wages, overtime, and reimbursement for work-related expenses. This includes mileage costs and cell phone usage. The claims, which add to the existing 450 claims against Amazon, argue that state laws require the classification and compensation of Flex drivers as employees.
The lawyers argue that Amazon exerts significant control over the drivers and that the deliveries are part of Amazon’s usual business. Therefore, they believe the drivers should be considered employees and paid accordingly. Joseph Sellers, an attorney for the drivers, stated that Amazon’s failure to pay wages and reimburse expenses is exploitative and gives the company a competitive advantage.
In response to the claims, an Amazon spokesperson highlighted the benefits of the Flex program, including the flexibility it offers drivers to set their own schedules and be their own boss. They expressed pride in the work done by Flex delivery partners on behalf of customers.
Amazon Flex Program Overview
The Amazon Flex program was founded in 2015 and allows individuals to use their own vehicles to deliver packages for Amazon. The program is positioned as a way for individuals to earn extra money and move closer to their goals. Drivers use a smartphone app to find delivery opportunities that suit them and pick up packages from designated Amazon locations. The average hourly earnings for most Amazon drivers range from $18 to $25, depending on factors such as location and delivery completion time.
History of Criticism and Legal Challenges
The recent claims from Flex drivers add to a history of criticism and legal challenges against Amazon’s treatment of its driving workforce. In 2021, the company settled with the Federal Trade Commission (FTC) after it was accused of withholding tips from drivers. Over 140,000 Flex drivers received nearly $60 million in withheld tips as part of the settlement. The FTC claimed that Amazon had illegally kept drivers’ tips over a 2.5-year period, despite promising that drivers would receive 100% of their tips.
The Teamsters union has also challenged Amazon’s classification of its drivers in a complaint filed with the National Labor Relations Board. Additionally, the Wisconsin Supreme Court ruled in April 2023 that some drivers in the Amazon Flex program should be classified as employees for unemployment insurance taxation purposes. This ruling could result in Amazon owing over $200,000 in delinquent taxes to Wisconsin’s unemployment insurance fund.
Conclusion
The claims made by Amazon Flex drivers highlight ongoing concerns regarding worker classification and compensation. The drivers argue that they should be considered employees due to the level of control exerted by Amazon over their work. While Amazon touts the benefits of the Flex program, including flexibility and competitive pay, legal challenges and settlements suggest that there are underlying issues that need to be addressed. The outcome of these claims and the broader conversation around gig economy workers will have implications for how companies like Amazon classify and compensate their workforce moving forward.
