Amazon Shorted Flex Delivery Drivers $61.7 Million in Tips, FTC Says
- Amazon used tips to cover basic hourly wage, regulator says
- Amazon had promised drivers would receive 100% of tips
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Amazon.com Inc. will pay $61.7 million to settle a U.S. Federal Trade Commission finding that the company withheld tips meant for Flex delivery drivers for more than two years.
Despite pledging to drivers and shoppers that Flex drivers would receive 100% of the value of tips, the world’s largest online retailer used a portion of the gratuities to pay the basic hourly rate for the on-demand package delivery program, the regulator said on Tuesday.