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Amazon will pay $4 million to settle driver tip theft lawsuit | The 2022 lawsuit was filed to penalize Amazon for withholding more than $60 million from Flex drivers.
A slap on the wrist that Amazon can certainly afford.
DC Attorney General Brian L. Schwalb announced the settlement today, which includes $2.45 million in penalties and requires Amazon to clearly disclose how tips are being used for any purpose besides compensating drivers. “When companies mislead customers to boost their profits by stealing tips intended for their workers, they are cheating their consumers, their employees, and their competitors who play by the rules,” said Schwalb. While Amazon has agreed to the settlement within 30 days, the company denies the DC allegations and maintains that it made “truthful, complete, unambiguous, and accurate representations to customers” regarding its tipping process for drivers.
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