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FedEx Drivers Claiming Misclassification Split $227M Settlement

After drivers in 19 states claim they were shorted compensation due to a misclassification, FedEx Corp. will pay more than $227 million to settle the matter. So reports the Indianapolis Business Journal.

The drivers claimed the company inappropriately classified them as independent contractors instead of full-time employees. There were 12,627 drivers named as plaintiffs. Each was awarded between $250 to more than $116,000, considering separate settlements in different states.

The settlements were based on rates of pay for every week the workers drove more than 35 hours, with lower payments for drivers who worked fewer hours. FedEx has paid approximately $454 million in compensation claim cases.  

Read the full article from the Indianapolis Business Journal.

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