A group of people who worked as FedEx drivers have sued FedEx because they claim FedEx misclassified them as independent contractors. They argue that FedEx should have classified them as employees instead.
By treating the drivers as independent contractors, FedEx saved money on overtime pay, unemployment taxes, payroll taxes, and workers compensation insurance premiums. FedEx likely decided to classify these drivers as independent contractors in order to avoid paying these types of taxes, insurance premiums, and wages. If FedEx should have treated them as employees, it will have to pay them unpaid overtime pay and other compensation.
Even if an employer, like FedEx, labels a group of workers “independent contractors,” that does not mean that those workers are automatically independent contractors in the eyes of the law. Whether FedEx should have treated these drivers as employees, instead of independent contractors, depends in large part on the amount of control FedEx exercised over their work. The group of drivers who brought this lawsuit claim that FedEx should have treated them as employees, not independent contractors, because of the amount of control FedEx exercised over their work. The court will have to decide whether the drivers are correct or whether FedEx is correct.
If you believe that your employer has misclassified you as an independent contractor, you should contact an experienced employment lawyer to determine whether your employer has violated your rights.