FedEx announced its most recent settlement of $240 million arising out
of the misclassification of its truck drivers as independent contractors
to avoid employer obligations to its drivers.
In 2014 and 2015, FedEx has suffered major judicial opinion setbacks for
labeling its drivers in its Home Delivery and Ground divisions as “independent
contractors” in the Supreme Court of Kansas, the 9th Circuit, and 7th Circuit Court of Appeals. After these adverse decisions, FedEx settled
and has paid or agreed to pay $226,000,000 to resolve its California mislabeling
of employees issue in order to avoid a much larger judgment. The most
recent $240,000,000 settlement brings its settlements to over $460,000,000
for calling its drivers “independent contractors.”
These appellate decisions have real consequences in pending truck wreck
collision cases involving serious personal and
catastrophic injury and
wrongful death. Calling employees “independent contractors” is a pandemic
in the motor carrier industry, and is done not only to avoid payroll,
tax, and benefit obligations to their drivers, but also to attempt to
avoid liability in truck wreck accident cases in Georgia and throughout
FedEx and other motor carriers want all the benefits and rewards of a business,
but try to shirk risks and responsibilities by refusing to classify drivers
as actual employees. If FedEx and other trucking companies and insurers
are doing this to their own drivers, guess what they will do to victims
in serious injury or wrongful death
truck wreck cases.
It takes an experienced Georgia truck accident attorney to identify, fight,
and win these issues. Call Terry D. Jackson P.C. today to get our team
started on your truck collision case. We’re not afraid to go to
court and have won some of the largest verdicts in the state!
free consultation when you call (877) 963-6287.