XPO Logistics Drivers Claim Misclassification of Employees

By Sarah Markley | October 3, 2017

Category: Labor & Employment

Employee Misclassification Lawsuit CA Many truck drivers, especially those who work for Connecticut-based company XPO Logistics, have claimed that they have not received proper pay, citing misclassification of employees.

XPO Logistics is a worldwide transportations and logistics company based in Greenwich, Connecticut. It boasts nearly $15 billion in revenue and claims it serves 50,000 customers. It has almost 1500 locations in 31 countries around the world.

In Europe, XPO Logistics owns the largest truck fleet and claims to be the second largest provider of freight-brokerage and contract logistics services in the world.

Even taking into consideration how successful XPO logistics is, they have been accused of misclassification of employees. Current and former employees of the logistics company claim that they are classified as independent contractors rather than employees. But, they add, they are treated as employees and should be classified thus.

A contractor is defined as bearing the costs of their own trucks, fuel and the maintenance of their vehicles. Contractors must also pay for certain other costs related to their work and duties, including the replacement of damaged goods. Contractors do no share in the benefit of overtime pay, rest breaks or meal breaks.

Most XPO Logistics truck drivers are paid per job and are not paid an hourly wage. However, those workers who claim that XPO Logistics has engaged in misclassification of employees also claim that they are truly employees and not contractors.

Contractor or Employee?

There are a variety of factors that help determine employee or contractor status. In addition to those above, another determining factor in figuring out if a truck driver is truly a contractor or an employee is if the worker is able to have control over his or her duties and determining how those duties are performed.

Other factors should be looked at too in determining if a worker is an employee or contractor. How permanent the relationship is between the company and worker is a determining factor in this process as well.

XPO Logistics truck drivers claim that they must attend meetings on a daily basis during which they are given instructions about the freight they are delivering. Also, some drivers claim that they must wait around before or after a delivery and are not compensated for their time doing so.

Some XPO Logistics workers who file misclassification of employees lawsuits assert that they are not given proper meal or rest breaks and that their shifts often last between 12 to 14 hours.

If they are classified as contractors, conditions such as this do not violate any labor laws. However, if they are classified as employees, which many drivers believe that they should be, this violates wage and hour laws and many drivers may stand to receive past due payment for work done for XPO Logistics.

Additionally, if workers are classified as contractors, the company does not have to pay for health insurance, payroll taxes, expense reimbursement, disability insurance and social security.

If you have worked as an XPO Logistics truck driver and suspect you are a victim of misclassification of employee, you may benefit from speaking with an experienced attorney.