The two law firms leading the litigation said about 15,860 Amazon Flex drivers have filed arbitration claims with the American Arbitration Association, and 453 similar lawsuits have been filed.
“We've heard from most of our Amazon Flex delivery partners that they appreciate the flexibility of this program, and we're proud of the work they do for customers every day,” Baribeau said. (Photo: Bloomberg) AP New York
Thousands of delivery drivers filed a lawsuit against Amazon on Tuesday, alleging that the company's classification of delivery drivers as independent contractors rather than employees has led to unpaid wages and other financial losses.
The two law firms leading the litigation said about 15,860 Amazon Flex drivers have filed arbitration claims with the American Arbitration Association, joining 453 other similar lawsuits already underway.
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Amazon's Flex program, launched in 2015, allows drivers to sign up to deliver packages using their own cars and a special app.
The company markets the jobs as flexible, part-time positions that allow drivers to earn extra income at the hours they choose. Amazon says most drivers make between $18 and $25 per hour, but how much they're paid varies depending on location, how long it takes to complete a delivery, and other factors.
The arbitration claims filed Tuesday were brought by drivers in California, Illinois and Massachusetts, all of which have rules that limit the amount of control companies can exercise over independent contractors. The claims, collected over four years by attorneys Joseph Sellers and Steven Tyndall, argue that under current laws in the three states, the drivers should be classified as Amazon employees, not independent contractors.
The lawyers said the change would allow Flex drivers to recover unpaid wages because Amazon pays them for a predetermined number of hours regardless of how long it takes to complete a delivery. It would also allow Flex drivers to receive overtime pay if they work more than 40 hours a week and be reimbursed for work-related expenses like gas and wear and tear on their vehicles.
Tyndall said in an interview that gas and other vehicle costs are “a big expense for our customers,” and that one of the customers targeted in the lawsuit worked seven days a week delivering for Amazon over the holidays but wasn't paid overtime.
In a prepared statement, Amazon spokesman Brandon Baribeau touted the benefits of the flex program, saying it gives individuals the opportunity to set their own schedules and be their own boss while earning a competitive wage.
“We've heard from most of our Amazon Flex delivery partners that they appreciate the flexibility of the program, and we're proud of the work they do for customers every day,” Baribeau said.
Tyndall and Sellers say they have won seven of the eight arbitration claims they have filed against Amazon so far, and drivers they represented in those cases have been awarded an average of $9,000 in damages.
Amazon's business model for drivers, which relies on independent contractors and third-party companies that allow them to avoid unionizing, has drawn scrutiny and criticism from many quarters.
A bipartisan group of more than 30 U.S. senators sent a letter to Amazon CEO Andy Jassy last week requesting more information about the company's relationships with the thousands of independent businesses that make millions of deliveries every day as part of Amazon's Delivery Service Partner program.
In March, the Wisconsin Supreme Court upheld a lower court ruling that declared Flex drivers employees, meaning they are eligible to participate in the state's unemployment insurance system and receive unemployment benefits if they are fired.
The Teamsters union, which is trying to organize Amazon drivers, also filed a complaint with the National Labor Relations Board last year challenging the way the company classifies some of its drivers.