Emily Sortor  |  May 21, 2020

Category: Labor & Employment

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KKW Trucking Inc. may be in trouble again over employment law violations.

A number of trucking companies, including KKW Trucking Inc., are being investigated for potential labor law violations, including failing to adequately compensate drivers for business costs while classifying them as independent contractors.

Underpayment of Truckers

Some companies may be underpaying independent contractors, thereby not honoring their contracts. Working as a truck driver can be expensive. Truckers often have to swallow costs like fuel, the purchase or lease of the truck, taxes, insurance, and more. When these costs are taken into account, along with the long hours that drivers typically work, many are not even paid minimum wage.

Trucker Misclassification

In some cases, trucking companies may be misclassifying drivers as independent contractors when they should really be considered employees. This means that the drivers who are not receiving employee benefits are required to shoulder the major costs associated with driving and maintaining a truck while also being under the trucking company’s control.

A number of criteria can help truckers determine if they should be classified as an employee or an independent contractor, such as whether the trucking company:

  • Sets their hours and controls their schedule
  • Controls the load assignments
  • Controls the mileage rates

Misclassification of truck drivers may be a violation of the Federal Labor Standards Act (FLSA).

Categorizing a worker as an employee means that companies are required by federal law to ensure they pay their truck drivers at least minimum wage, along with other employee benefits.

T Sheets explains that the number of lawsuits filed under the FSLA has increased in recent years, and many of the claims filed were regarding employee classification. If an employee files a claim against an employer and a court decides that the employee was indeed misclassified, they may be eligible for back pay for unpaid overtime. Sometimes, a court may decide to award other damages in addition to back pay.

Some employers have faced lawsuits around unintentional misclassification of workers. Even if an employer had not intentionally misclassified an employer, they can still be held liable for doing so. Additionally, the law recognizes that some employers may try to claim that they were unaware of the law, but were rally intentionally trying to misclassify employers to avoid essences.

Some states, including California, are in the process of re-examining their employee classification laws. Around the country, this means that employers like KKW Trucking Inc. and others will now have to ensure that their worker classification is in line not only with existing state laws, but any changes to state law that may be coming their way.

Have you worked for KKW Trucking Inc?American Shipper explains that the trucking industry, in particular, has been experiencing more scrutiny over employee classification, because so many workers in the trucking industry are independent contractors. New Jersey is one state whose lawmakers are expressing concern over truck driver classification.

According to the news source, this will be a significant shift because, in New Jersey, truck drivers haul cargo from the ports of New Jersey to all around the country. Currently, over 85 percent of these drivers are contractors. According to American Shipper, lawmakers argue that many of them are misclassified. 

Companies Under Investigation

A number of different trucking companies are being investigated for potentially breaking these labor laws, including but not limited to the following:

  • Dalton Trucking Inc.
  • Gardner Trucking Inc.
  • Heitz Trucking Inc.
  • Hendrickson Truck Lines
  • KKW Trucking Inc.
  • Matheson Inc.
  • Osterkamp Transportation
  • R & A Trucking Company
  • TCI Transportation
  • TRIUS Trucking

This is not the first time KKW Trucking Inc. has been involved in a labor law dispute. In May 2018, the company received preliminary court approval to settle a class action lawsuit stemming from how it performed background checks of potential employees.

Filing a Labor Lawsuit

Earlier this year, the California Labor Commission found that 24 California truck drivers had been misclassified as independent contractors, and were owed some $6 million.

If you work or have worked as an independent contractor truck driver while living in California (and make deliveries inside or outside the state) and believe the company you worked for failed to pay you proper wages or overtime, or otherwise neglected to properly compensate you, you may be able to file a truck driver lawsuit and pursue compensation.

Filing a lawsuit can be a daunting prospect, so Top Class Actions has laid the groundwork by connecting you with an experienced attorney. Consulting an attorney can help you determine if you have a claim, navigate the complexities of litigation, and maximize your potential compensation.

Join a Free Trucker Overtime Class Action Lawsuit Investigation

If you have worked as a contract truck driver and believe your carrier has failed to pay you minimum wage or overtime, or otherwise might not have honored a contract with you, you may qualify to file a truck driver lawsuit or class action lawsuit.

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