[HN Gopher] DC sues Amazon for 'stealing' $60M in tips from Flex...
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DC sues Amazon for 'stealing' $60M in tips from Flex drivers
Author : mfiguiere
Score : 39 points
Date : 2022-12-07 19:44 UTC (3 hours ago)
(HTM) web link (www.theverge.com)
(TXT) w3m dump (www.theverge.com)
| yunwal wrote:
| Now do restaurants
| more_corn wrote:
| Why is stealing in quotes? Wage theft is stealing. Tip theft is
| stealing.
| jt2190 wrote:
| > [District of Columbia Attorney General Karl] Racine's office
| alleges [that prompting customers to leave tips with the
| promise that "100 percent" of the money would be given to
| drivers] violates DC's Consumer Protection Procedures Act,
| which bars deceptive information about merchants' goods and
| services...
|
| In other words, the victims in this specific case are
| consumers, not Flex Drivers. (Yes, this is pedantic and
| splitting hairs, but that's the way the law works.)
| pifm_guy wrote:
| I believe the scheme worked like this (numbers are examples):
|
| * Driver's are paid $1 per delivery, plus tips.
|
| * Drivers get a guaranteed weekly take-home of $300, provided
| they work 30 hours.
|
| * Consumers are allowed to give tips to the driver through the
| app, and '100% goes to the drivers'.
|
| But... Here's the catch. A typical driver does say 100
| deliveries and gets $100 of tips in a week. So their take-home
| (which would be $200) gets increased to $300 by the guarantee.
|
| Now... Who lost out? Where is the fraud? It's unclear... The
| driver still got everything he was promised. The tips given by
| the consumer really did end up in the drivers pocket...
|
| But if a consumer is extra generous and gives an extra $50 tip,
| the driver gets nothing extra - since his total take-home would
| still be under $300, so would still be topped up to $300 by the
| company. So effectively the company received the extra
| generosity. Which isn't what the consumer intended.
| gowld wrote:
| willcipriano wrote:
| They are quoting the states argument, not making a assertion
| that Amazon stole anything. After the case is resolved they
| could potentially use stole without quotes.
| daniel-cussen wrote:
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(page generated 2022-12-07 23:02 UTC)