BELOW SUPERNAV drop zone ⇩

Amazon drivers to get back $60M in allegedly withheld tips

Photo by Marco Bertorello / AFP) (Photo by MARCO BERTORELLO/AFP via Getty Images)

MAIN AREA TOP drop zone ⇩

MAIN AREA TOP drop zone ⇩

maylen

https://digital-stage.newsnationnow.com/

AUTO TEST CUSTOM HTML 20241114185800

AUTO TEST CUSTOM HTML 20241115200405

AUTO TEST CUSTOM HTML 20241118165728

AUTO TEST CUSTOM HTML 20241118184948

ST. LOUIS (KTVI) — The Federal Trade Commission said it’s sending nearly $60 million to 140,000 Amazon drivers who allegedly had their tips illegally taken by Amazon.

Earlier this year, the FTC sued Amazon, alleging that the online retailer failed to fully pay tips that drivers in its Amazon Flex program had earned.

Amazon Flex drivers are independent contractors who deliver goods and groceries ordered through such programs as Prime Now and Amazon Fresh. 

The complaint alleged that Amazon secretly pocketed the tips between 2016 and 2019 despite saying “100% of the tips would go directly to the drivers.”

Amazon agreed to settle the case and surrender all the money it was accused of withholding.

“While we disagree that the historical way we reported pay to drivers was unclear, we added additional clarity in 2019 and are pleased to put this matter behind us. Amazon Flex delivery partners play an important role in serving customers every day, which is why they earn among the best in the industry at over $25 per hour on average across the country,” wrote an Amazon spokesperson.

Drivers who had more than $5 withheld will receive a reimbursement from the FTC in the form of a check or PayPal payment. The highest amount going to a single Amazon Flex driver is more than $28,000, while the average amount is $422.

Business

Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed

Site Settings Survey

 

MAIN AREA MIDDLE drop zone ⇩

Trending on NewsNation

AUTO TEST CUSTOM HTML 20241119133138

MAIN AREA BOTTOM drop zone ⇩

tt

KC Chiefs parade shooting: 1 dead, 21 shot including 9 kids | Morning in America

Witness of Chiefs parade shooting describes suspect | Banfield

Kansas City Chiefs parade shooting: Mom of 2 dead, over 20 shot | Banfield

WWE star Ashley Massaro 'threatened' by board to keep quiet about alleged rape: Friend | Banfield

Friend of WWE star: Ashley Massaro 'spent hours' sobbing after alleged rape | Banfield

Sunny

la

65°F Sunny Feels like 65°
Wind
6 mph WSW
Humidity
40%
Sunrise
Sunset

Tonight

Clear to partly cloudy. Low 47F. Winds N at 5 to 10 mph.
47°F Clear to partly cloudy. Low 47F. Winds N at 5 to 10 mph.
Wind
7 mph N
Precip
12%
Sunset
Moon Phase
Waning Gibbous