Amazon is being sued for allegedly 'stealing' driver tips in DC
Amazon over claims the company was"stealing" tips from Flex drivers. As the Federal Trade Commission argued last year, DC claims Amazon changed its policies in 2016 so that it would use large portions of drivers' tips to cover base pay and operational costs. The company not only used"misleading" language in its response to worried couriers but falsely told customers that 100 percent of tips would go drivers, according to the District's Office of the Attorney General.
DC acknowledged that Amazon had paid $61.7 million as part of a settlement with the FTC. However, it said the federal deal helped Amazon elude"appropriate accountability" that included punishment for the damage done to consumers. The Attorney General's office is asking for civil penalties for every violation of the District's Consumer Protection Procedures Act as well as a court order barring Amazon from implementing similar practices in the future.
In a statement to Engadget, Amazon maintained that the lawsuit is"without merit" and reflects policies changed in 2019. The tech giant already paid the tips to drivers as part of the FTC deal, according to a spokesperson.You can disable notifications at any time in your settings menu.
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