Logistics firm XPO Last Mile Inc. agreed to pay $16.5 million to settle an independent contractor misclassification class-action lawsuit that includes 847 current and former delivery drivers, according to court records.
Preliminary approval was granted June 27 in federal court in California.
XPO contracts with retailers to arrange for delivery and basic installation services of appliance, furniture and other merchandise, according to court documents. Among its clients are Home Depot, Lowe’s Home Improvement, Macy’s and Ethan Allen.
Plaintiffs in this class action claimed they were misclassified as independent contractors and were not paid minimum and overtime wages, reimbursed for business expenses or provided other items afforded employees. The case was first filed on March 11, 2016.
The class includes drivers from March 12, 2012 through Feb. 21, 2019. Estimated payments to settlement class members range from $70 to more than $138,700, with the average being $14,222.92.
The case is Carter v. XPO Logistics Inc., No. 16-cv-01231-WHO.