Delivery Driver Misclassification Lawsuits

In many cases, companies will try to cut corners on spending by hiring and misclassifying their employees as independent contractors or self-employed workers. Unlike an employee, who is given a consistent work schedule, guaranteed a regular wage, and is entitled to benefits, workers who are misclassified as independent contractors typically work under short-term, contract-based jobs. Independent contractors are not entitled to employee benefits like company-sponsored health care, paid time off, vacation time, sick days, and more, and must file and withhold their own taxes.

Employers may misclassify workers to circumvent laws enforced by the Equal Employment Opportunity Commission (EEOC). The EEOC protects workers' rights through employment discrimination based on age, race, gender, or disability. Employers may also misclassify workers to bypass certain laws in order to save money. When looking at the numbers, typically, independent contractors cost employers up to 30 percent less than regular employees. So by misclassifying their employees as contractors or as 1099 workers, they are not legally required to provide the following:

• Health insurance
• Pension plans
• Paid time off
• Medical leave 
• Meal and rest breaks
• Expense reimbursement

Misclassifying a worker prevents these companies from complying with Equal Employment Opportunity Commission laws, which prevent employment discrimination, meaning contractors cannot sue based on employment laws prohibiting discrimination, harassment, whistleblower retaliation, and wrongful termination. However, along with misclassification being illegal and unfair to those working to make a living wage, this practice also deprives governments of tax revenue. Not only does this affect those workers, but it also creates a competitive disadvantage for law-abiding companies.

Those who work in "gig economy" fields, such as rideshare drivers and delivery drivers, are some of the most affected by this issue. However, worker misclassification can happen anywhere. If you suspect that your employer has misclassified you, we may be able to help. For more information, contact a Morgan & Morgan attorney today. 

GoPuff®: 

GoPuff®, founded in 2013, is a company that delivers groceries, alcohol, and other home essentials directly to customers' homes. In 2023, an investigation by Attorney General Andrea Joy Campbell found GoPuff not only misclassified nearly a thousand delivery drivers as independent contractors. 

Point Pickup:

Point Pickup®, founded in 2015, is a same-day delivery company geared toward retailers offering them an array of pick, pack, and delivery services. A class action lawsuit filed in California alleges that the company violated the California Labor Code in regards to misclassifying its delivery drivers as independent contractors and failing to provide them with appropriate wage-and-hour benefits and protections.

Spark:

Spark®, launched in 2018, is a service company that makes deliveries and returns for Walmart and other retailers. The Spark Driver app operates in all 50 U.S. states, with over 17,000 pickup points. Drivers on the app are considered to be independent contractors and part of the gig economy. 

Skip Cart:

Skipcart®, founded in 2018, is a delivery company that offers same-day and on-demand delivery for various industries. Drivers who work for Skip Cart have complained that the company has misclassified them as independent contractors forcing drivers to work for less than minimum wage and have stolen wages. 

Roadie:

Roadie®, founded in 2014, is a delivery platform that provides same-day and local next-day delivery service in the United States. Drivers who work for Roadie have filed complaints against the company for wage theft, denied benefits, and more. 

While every settlement differs by case, individuals who suspect their company has misclassified them as independent contractors may seek to recover the following damages:

• Unpaid wages
• Overtime wages
• Unemployment benefits
• Health insurance benefits
• Other related penalties

For a more accurate estimation, we recommend you speak to one of our attorneys today to better understand what you may be eligible to recover in a misclassification lawsuit. For more information, you can complete our free, no-obligation case evaluation form to have one of our highly specialized attorneys review your case.

According to the U.S. Department of Labor, retaliation occurs when an employer, be it through a manager, supervisor, or administrator, directly punishes an employee for engaging in protected activities, like advocating for their rights to be free from employment discrimination, a discriminatory workplace culture, violations of laws intended to protect health and safety. In doing so, an employer keeps an employee from raising concerns over possible violations and impacts overall employee morale.

If you believe your employer has retaliated against you for your misclassification lawsuit, you may be able to file a separate, individual lawsuit against your employer for the retaliation. Contact an attorney at  Morgan & Morgan today to learn more about your options and the damages you may be eligible to recover today.

In order to qualify for a misclassification lawsuit, your employer must consider you a contract worker, even though the nature of your work characterizes you as an employee. If you are still unsure whether or not you are eligible for a misclassification lawsuit, you can contact a Morgan & Morgan attorney.

Working with an attorney can help you understand the laws that are in place to protect you. When you decide to work with an attorney, they will help guide you through the legal process, review your case, and work with experts to determine whether or not your employer has misclassified you. 

Yes. 

For over 30 years, our law firm has centered itself on being for the people. At Morgan & Morgan, we believe everyone is entitled to legal representation regardless of their financial situation. This is why at Morgan & Morgan, our attorneys work on a contingency, meaning we only get paid if we win your case, and our legal fees will only be a percentage of the compensation recovered. To learn more information on how the contingency fee works and how you can afford to work with our attorneys, complete our free, no-obligation case evaluation forms today.