DoorDash Inc. is facing a proposed class action filed in California by a delivery driver who claims the defendant misclassified him as an independent contractor to avoid paying him proper wages.
The food delivery business supposedly treats drivers like employees by maintaining a strict level of control over their job duties but, on paper, classifies them as contractors in an effort to avoid having to adhere to the Fair Labor Standards Act’s wage requirements, the suit says. According to the complaint, drivers are paid a “guaranteed delivery fee” for each delivery, plus tips they receive from customers. The lawsuit argues, however, that customer tips “cannot count” toward the defendant’s minimum wage obligations and aren’t properly itemized on drivers’ wage statements.
Further, the case claims the defendant does not reimburse delivery workers for the expenses they incur while performing work for DoorDash, such as the costs of owning and maintaining a vehicle, buying gasoline, and paying for a cell phone and data needed to run the defendant’s phone application.
“Delivery drivers incur these costs as a necessary expenditure to work for DoorDash, which California law requires employers to reimburse,” the complaint reads.
The case, which was recently removed to federal court, argues that these supposed practices cause delivery drivers’ pay to fall below the required minimum rate and ultimately seeks to repay a proposed class of individuals who have worked for DoorDash in California.