Under federal law, there are a limited set of circumstances when companies may pay below minimum wage hourly rates. One such industry that takes advantage of this narrow exception is the pizza delivery business, where companies not only try to cut costs by paying below minimum wage rates but also charge their customers delivery charges that typically are not passed onto compensate for the drivers’ already low wages. Even when companies do provide drivers’ compensation for their driving, delivery, and other out of pocket costs, the amounts provided are often well below the actual per milage costs drivers incur meaning many drivers are actually paying more out of their own pockets than companies are reimbursing them. Forester Haynie has already settled multiple cases for pizza delivery drivers for this exact issue, and are in the process of settling others.
The federal Fair Labor Standards Act (FLSA) was passed in an effort to set a minimum wage and maximum hour requirement for hardworking Americans. Since 2009, the federal minimum wage has been stuck at just $7.25 per hour.
Because it is unlawful to pay below minimum wage hourly rates and for your employer to require you to functionally pay to work, you may have a claim for back wages. To get started immediately, sign our contract, or fill out the form below to find out more information.