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Judge approves $9 million misclassification settlement

A California federal judge granted preliminary approval to a misclassification case settlement involving on-demand courier service company Postmates, according to an article on Law360 [1]. The proposed $8.75 million settlement would resolve a proposed class action lawsuit claiming Postmates misclassified its couriers as independent contractors. US District Judge Jeffrey S. White said in his order that claims brought on behalf of gig-economy workers are still relatively novel,  and no California court has definitively established whether the gig workers are, in fact, employees or independent contractors. Therefore, he said, it’s not clear that the Postmates couriers would prevail and recover damages at trial.

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