TIWN
Washington, Dec 8 (TIWN) District of Columbia (DC) Attorney General Karl Racine has sued e-commerce giant Amazon for stealing consumer tips worth $60 million from delivery drivers through a deceptive, illegal scheme.
Amazon settled with the Federal Trade Commission last year after a lawsuit asserted it had withheld more than $60 million (or about one-third of total customer tips) from Amazon Flex drivers over the course of two and a half years. But while the FTC took that money to distribute back to drivers, it had no mechanism to issue greater penalties. “Amazon has thus far escaped any other consequences,” Racine’s complaint says. The new suit asks for a DC court to assess further financial damages, aiming to “hold Amazon to full account for its unlawful actions, and to send a clear message to employers not to divert tips for their own benefit.”
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