Amazon to Settle FTC Labor Dispute
Recently, Amazon has decided settle charges with the FTC. The dispute with the FTC centered around a claim that Amazon withheld tips from contracted delivery drivers to help its own bottom line. According to the FTC, the independent government agency responsible for consumer protection and antitrust enforcement, Amazon had promised its “Flex” delivery drivers $18-25 in hourly wages and 100% of customer tips. But in 2016, Amazon allegedly lowered the base pay and attempted to hide the fact that it did so by withholding some of the contract workers’ tips to make up the difference from the lower hourly rates. Thus, the Flex drivers received less total take-home pay. Amazon settled the case for $62 million dollars.
See "Amazon to Settle FTC Labor Dispute", Abby Vesoulis , Time, February 4, 2021