Trenton, NJ – Attorney General Matthew J. Platkin and New Jersey Department of Labor and Workforce Development Commissioner Robert Asaro-Angelo have filed a lawsuit against Amazon and its delivery network. The state charges that Amazon has misclassified Flex delivery drivers as independent contractors, violating state labor laws.
The lawsuit alleges that Amazon deprives Flex drivers of wages, benefits, and legal protections designated for employees. As a result of these alleged violations, New Jersey Flex drivers and related funds have suffered significant financial losses.
Flex drivers utilize their own vehicles for deliveries while covering their own operational costs. Amazon has branded the Flex program as a means for individuals to have a flexible income opportunity, yet it maintains strict control over delivery processes.
The lawsuit claims that by misclassifying Flex drivers, Amazon avoids providing rights such as minimum wage and mandated sick leave. Platkin stated, “Amazon is taking advantage of Flex drivers.”
Commissioner Asaro-Angelo emphasized that misclassifying workers is illegal. “Flex drivers deserve proper classification,” he noted.
Many Flex drivers have been operating in New Jersey since 2017. An investigation into Amazon’s practices commenced when some Flex drivers sought unemployment and disability benefits, indicating Amazon’s lack of contributions to state funds.
The complaint, filed in Essex County’s Superior Court, outlines how Amazon’s business model harms Flex drivers. It highlights instances where drivers have worked over 40 hours without receiving earned overtime and where injuries have left them without essential sick leave.
New Jersey law presumes workers to be employees unless specific conditions are met. Amazon allegedly fails to meet these criteria, as drivers undergo training, do not manage independent businesses, and must adhere to Amazon’s operational guidelines.
The lawsuit details violations including wage withholding and failure to maintain accurate records. It seeks to stop unlawful practices, recover unpaid wages, and enforce penalties.
The state has prioritized addressing worker misclassification, previously settling cases against companies like Lyft and Uber. Since new legislation aimed at curbing such practices was enacted, New Jersey has collected significant penalties from misclassified workers.
Misclassification costs New Jersey taxpayers millions in lost contributions to state funds. With this lawsuit, the state aims to enforce labor laws and protect Flex drivers from exploitation.