GrubHub Contractor Lawsuit Filed Over Failure to Pay Proper Wages

The popular food delivery service company GrubHub has been hit with a wage and hour lawsuit by its drivers, who work as contractors.

The GrubHub contractor lawsuit alleges that these workers are misclassified as independent contractors when they should actually be considered employees, and given the benefits that employees are entitled to under federal and state labor laws.

The GrubHub contractor lawsuit was brought by plaintiffs Broderick B., a current driver for GrubHub, and Carmen W., who stopped driving for the company in March 2017. According to their lawsuit, GrubHub mislabeled its drivers as contractors, even though the delivery service controls their work.

“Although classified as independent contractors, GrubHub delivery drivers are employees under federal and state law,” argues the complaint. “GrubHub directs the delivery drivers’ work in detail, instructing drivers where to report for their shifts, how to dress, and where to go to pick up or await deliveries.”

Indeed, the GrubHub contractor lawsuit claims that the work conditions of these drivers make them clearly employees rather than contractors. For instance, drivers work on scheduled shifts, and they are required to stay within a certain area. “The drivers as a general matter cannot engage in personal non-work activities during their GrubHub shifts,” the complaint states, meaning that they essentially function as employees.

However, they allegedly do not receive the same benefits that an employee does. GrubHub drivers are allegedly required to pay many of their own expenses, such as gas and transportation. Because of how they’re paid (a flat fee for each delivery), the plaintiffs claim they may often be paid below federal or state minimum wage, even when they work full time. Many drivers allegedly work more than 40 hours a week, but do not receive overtime rates for this work.

Broderick and Carmen filed their GrubHub contractor lawsuit on behalf of themselves and all others in a similar situation.

According to the GrubHub contractor lawsuit, the company violated a number of FLSA and Illinois laws by failing to pay overtime and failing to pay minimum wage. The plaintiffs filed their class action GrubHub contractor lawsuit on June 29, 2018, in the U.S. District Court for the Northern District of Illinois.

Misclassifying workers like GrubHub delivery drivers as independent contractors allows a company to avoid paying minimum wage, overtime pay, health benefits, insurance, and social security costs. Workers improperly classified in this manner may feel like they have no way to stand up for themselves, but they may be able to pursue litigation.

Filing a Driver Misclassification Lawsuit

There are federal and state labor laws put in place to protect workers from being misclassified as independent contractors when they should be considered employees. Similar misclassification lawsuits have been filed against other companies by nail salon workers, Uber drivers, and many others.

If you have worked as a delivery driver for a company you believe misclassified you as an independent contractor, such as GrubHub, you may be able to file an individual lawsuit or join a wage and hour class action lawsuit. Filing a lawsuit can help you recover wages that would be owed to you as an employee.

The GrubHub Contractor Lawsuit is Case No. 1:18-cv-04538, in the U.S. District Court for the Northern District of Illinois.

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