Another Multimillion Dollar Settlement to End an XPO Last Mile Wage Suit

Drivers had a big win in the California courtroom recently when XPO Logistics settled another wage lawsuit for close to $5.5 million. The settlement was split between just under 4,000 drivers. This is the third lawsuit of this type settled by the company in the last 4 months. Federal court documents state that the Defendant, XPO Last Mile, agreed to pay the class members $5.5 million to end the lawsuit originally filed at the end of 2016.  

The lawsuit was filed by Hector Ibanez in 2016. He filed the lawsuit on behalf of thousands of XPO Last Mile drivers in California. Ibanez alleged that the company misclassified him and others as independent contractors. The California drivers claim they did not receive payment for all hours worked. The drivers allege that they generally worked more than 40 hours per week and often put in more than 12 hours in a day. While these hours would qualify as overtime hours, they were not paid overtime wages because the company, XPO Last Mile, classified them as independent contractors. The drivers also allege that wages were not paid in a timely manner as required by law – particularly upon termination of employment. Noncompliant wage statements complicated matters.  

According to the California wage lawsuit, XPO Last Mile did not comply with meal and rest break requirements as determined by California Labor Code. They also allegedly failed to comply with wage and hour law, waiting time penalties, reimbursement of expenses necessary during the course of performing job duties, and providing legally required wage statements. If all the drivers eligible as class members participate in the settlement agreement, each will receive approximately $935.18.

This is just one of a number of California wage and hour suits pending during litigation. Two other lawsuits were settled around the same time as the Ibanez case.

If you need more information about filing a class action lawsuit in California or if you have questions about what an experienced employment law attorney can do for you, please get in touch with one of Blumenthal Nordrehaug Bhowmik DeBlouw LLP’s offices in San Diego, San Francisco, Sacramento, Los Angeles, Riverside or Chicago.