From the Independent Contractor Compliance Legal Blog (to which I highly recommend you subscribe), Richard Reibstein reports on a independent contractor misclassification claims against on-demand food delivery companies. Richard writes:
Three on-demand food delivery companies, Sprig, Inc., GrubHub, and DoorDash, become the subjects of separate independent contractor misclassification class action lawsuits. The complaint against Sprig alleges that, among other things, the Sprig Servers, who deliver meals prepared by the company to Sprig customers, were not paid at least the minimum wage; were not given required meal and rest periods; were not reimbursed for their own business expenses; and were not provided with gratuities paid by customers and intended for the Servers. The complaint alleges that Sprig had the right to terminate the Servers at any time in Sprig’s discretion; that Servers had no special skills; that Sprig exercised control over the hiring process by requiring background checks and requiring participation in unpaid orientation; and that Sprig directed, controlled, and supervised the performance of the Servers, created their work shifts, required the Servers to clock-in and out, set their compensation, instructed them how to complete deliveries, and prohibited the Servers from subcontracting their services. Barnes v. Sprig, Inc., No. CGC-15-548154 (Super. Ct. San Francisco, CA Sept. 25, 2015).
Via the September/October 2015 Independent Contractor Compliance and Misclassification News Update