Drivers sue Amazon for Not Providing Independent Contractor-Level Benefits

Drivers sue Amazon for Not Providing Independent Contractor-Level Benefits

Drivers working for Amazon have filed a lawsuit against the retailer alleging that the company treats them as its employees, but do not provide them independent contractor-level benefits.

According to the lawsuit, drivers of the Amazon Prime Now were hired by Scoobeez, a contractor that usually hires several hundreds of drivers for the on-demand delivery service. These drivers majorly work for Amazon, wear Amazon Prime Now uniforms and have to take regular shifts and assignments from the company. They said they are being treated as employees.

These hired drivers have also to pay for gas, insurance, and maintenance costs on their own personal vehicles. They are not given any benefits such as health insurance, meal breaks, or overtime pay because according to Amazon, those workers are actually contractors and not full-time employees.

Further, the lawsuit also claimed that Amazon does not give any tip to drivers, which customers usually pay with credit cards. In addition to the minimum wage and overtime claims, the Amazon Prime Now lawsuit also accused the company for breach of the contract.

The Prime Now service, which was launched in Sothern California in the last month, promises to provide home delivery of goods such as groceries and electronics within one to two hours.

Recently a lot of attention is being paid to the independent contractor/employee dichotomy, in part to the booming ‘gig-economy’ created by companies like Uber, Lyft, Postmates, and Amazon Prime Now. All of these companies have freely enjoyed tremendous financial success this past year.

The attorney, who brought a case on behalf of FedEx drivers to court, filed the Tuesday’s lawsuit involving Amazon Prime Now.

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