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FedEx Ground and Massachusetts Reach Settlement in Alleged Misclassification of Drivers

Our workers’ compensation attorneys have learned that FedEx Ground has agreed to pay the Commonwealth of Massachusetts several million dollars to settle allegations that they misclassified drivers as independent contractors. According to the attorney general, FedEx’s classification of drivers denied the state workers’ compensation, payroll taxes, and unemployment assistance contributions, as well as gave the company an unfair competitive advantage.

The $3 million awarded will go to the state’s general fund and to the thirteen drivers named in the suit. There is another lawsuit on behalf of other drivers that is still pending.

The company denies liability in the settlement with the state.

Source: Mass. reaches $3M settlement with FedEx Ground, Bloomberg BusinessWeek, July 15, 2010
Contact a Massachusetts workers’ compensation attorney if you are not receiving the benefits to which you are entitled.

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