Texas AG: Walmart to pay $13M settlement over Spark driver pay, tips
Walmart has agreed to a $13 million settlement with the Texas Attorney General to resolve allegations that it misled Spark delivery drivers regarding pay and tips. The company is now required to provide more transparent compensation information to its drivers.
Why it matters
This settlement highlights ongoing regulatory scrutiny regarding the labor practices of gig-economy platforms and the protection of independent contractor wages.
AUSTIN, Texas (KBTX) - Texas Attorney General Ken Paxton has announced a settlement with Walmart to resolve allegations that the company misled delivery drivers in its Spark Driver program about compensation, including tips.
A delivery driver who lives here in the Brazos Valley shared with KBTX’s Rusty Surette an example of how her estimated payments were reduced after a delivery was marked completed.
According to the Attorney General’s Office, the settlement with Walmart totals more than $13 million, includes money to repay affected drivers, and requires Walmart to provide transparent and accurate pay information to drivers going forward.
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