Amazon Delivery Drivers Seek Fair Compensation in California Employee Rights Lawsuits

Delivery drivers for various California courier services have been asserting their rights under California employment laws, arguing that even if they’re labeled as independent contractors, they work like employees and deserve the same protections.

In October 2015, four delivery drivers from Orange County, Calif. filed an employee class action lawsuit against retail behemoth Amazon, alleging they had been unfairly denied wages, meal breaks, overtime pay and other benefits.

The drivers argue that even though they worked through courier contracting agency Scoobeez, their relationship with Amazon was an employment relationship that entitled them to the legal protections employees should have – protections like minimum wage rules, overtime pay, and reimbursement for work-related expenses.

The drivers say Amazon purposely misclassified them as independent contractors to avoid these legal obligations.

All four drivers were contracted through a smaller courier delivery agency to deliver for Amazon’s Prime Now same-day delivery service. As such, the drivers were not directly employed by Amazon.

However, the drivers allege they were expected to undergo Amazon employee training. They say they worked out of an Amazon warehouse, wore Amazon uniforms, and had to use a badge with an Amazon logo.

As delivery drivers, they say, they were expected to use their personal vehicles to make deliveries. They claim Amazon did not reimburse them for expenses associated with the use of their vehicles – not for fuel, mileage, tolls, maintenance, insurance, or other expenses.

Once those expenses were factored into their pay, the drivers allege, some of them were making less than California’s $9-per-hour minimum wage.

Class Action Settlement Fund Established for FedEx Delivery Drivers

Another delivery drivers class action lawsuit resulted in a multi-million dollar settlement fund for a class of FedEx Ground drivers in California.

The parties agreed on the settlement in June 2015 and submitted it to the court for approval. FedEx was required to set aside $228 million to resolve claims that the company had misclassified its drivers as independent contractors to avoid paying them a litany of benefits they would have gotten if they were employees.

According to the drivers’ lawsuit, by classifying these delivery drivers as contractors, FedEx avoided paying for benefits like paid sick leave and vacation, retirement, health insurance, and workers’ compensation. Drivers also said they didn’t get rest and meal breaks or overtime pay.

Some drivers allege FedEx Ground required them to hire and pay employees during the holiday rush to cover their shifts during illness or vacation.

At the same time, the drivers were expected to wear FedEx uniforms, use FedEx scanners, and pay for the use of their FedEx branded trucks.

As with the drivers in the Amazon lawsuit, the FedEx drivers say they were expected to pay for the expenses related to the operation of their trucks out of their own pockets.

The FedEx settlement fund was set up to compensate a class of about 2,300 FedEx ground delivery drivers, covering claims from as far back as 2000.

Other claims like these could be in the works. Class action attorneys are investigating whether California delivery drivers working for other courier services companies may have similar claims for employee benefits.

The Amazon Delivery Drivers Class Action Lawsuit is Truong et al. v. Amazon.com Inc. et al., Case No. BC598993, in the Superior Court for the State of California, County of Los Angeles.

The Fedex Delivery Drivers Class Action Lawsuit is Alexander v. Fedex Ground Package System Inc. et al., Case No. 3:05-cv-00038 in the U.S. District Court for the Northern District of California.

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