Pizza Hut recently agreed to pay $2 million to settle a class action suit that accused the pizza chain of failing to pay their “delivery drivers enough to make the minimum wage requirement in the state of Wisconsin.” The lawsuit itself was filed by Wayne Meetz, a former Pizza Hut delivery driver, back in November 2016.
Pizza Hut recently agreed to pay $2 million to settle a class action suit that accused the pizza chain of failing to pay their “delivery drivers enough to make the minimum wage requirement in the state of Wisconsin.” The lawsuit itself was filed by Wayne Meetz, a former Pizza Hut delivery driver, back in November 2016. In his suit, Meetz argued the “pizza chain did not pay him or other drivers in Wisconsin adequately to minimum wage requirements.” Additionally, Meetz claimed the restaurant didn’t compensate him or other drivers “for the use of personal vehicles while making deliveries.”
According to the lawsuit, Meetz was employed as a Pizza Hut delivery driver in Appleton, Wisconsin back on September 30, 2013. During his employment, he was allegedly “paid at either sub-minimum wage rates or near minimum wage rates,” as were other delivery drivers. In addition to the substandard wages, Meetz argued that he and other drivers “were responsible for using their personal vehicles to deliver pizzas.” According to Meetz, any vehicle he used to deliver pizzas was required by the restaurant to be “safe, comply with state operation laws and be insured.” He was also responsible for paying for gas, “car parts, repairs, routine maintenance and insurance.”
Because he was only paid $5.25 per hour instead of the “state’s required $7.25 per hour minimum wage rate,” the costs he was responsible for covering out of pocket put a financial strain on his wallet. He also added in his suit that while Pizza Hut reimbursed him at a “flat-rate per delivery of $1, the flat-rate reimbursement was not a reasonable payment in comparison with the actual expenses delivery drivers were incurring while performing their jobs.”
Pizza Hut originally pushed back against the allegations and argued that a “tip credit accounts for the difference between wages for delivery drivers and the minimum wage requirements.” However, Meetz argued back in his suit that “Pizza Hut did not collect tip declarations from him or other employees while he was working there.”
Despite agreeing to the settlement, Pizza Hut has yet to admit any fault regarding the allegations. According to the agreement, the settlement funds will “be dispersed over a period of time from December 1, 2018, to June 1, 2020, and will compensate Meetz for unpaid wages, personal vehicle use while working and any legal fees related to the filing and settling of the lawsuit.” Other delivery drivers including in the class action suit will also receive a portion of the funds to help cover “unpaid wages and personal vehicle use and fees.”
Sources:
Pizza Hut to pay $2M settlement in unpaid wages, vehicle use compensation case
Delayed payday coming for Pizza Hut delivery drivers after $2 million lawsuit settlement
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