Amazon Flex drivers to receive unpaid tips in settlement

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LASING, Mich. (WOOD) — Amazon Flex drivers in Michigan who were withheld tips will be paid back that money, the attorney general’s office said Monday.

The Federal Trade Commission announced late last week that a settlement had been reached with Amazon to return unpaid tips to Flex drivers who worked between late 2016 and August 2019. Amazon will be returning nearly $62 million, the AG’s office said.

The AG’s office says Amazon Flex works in and around Detroit, Grand Rapids, Kalamazoo, Lansing and Saginaw.

In the settlement, Amazon has also agreed to not change how drivers receive tips without getting informed consent from the employee. The agreement will be in effect for 20 years. 

“I commend the FTC for taking firm action in favor of our workers against one of the country’s most powerful companies,” Nessel said. “It’s unlawful for any employer to withhold a worker’s wages or tips without their express written consent. This agreement is a victory for our Michigan workers, and I am pleased Amazon is cooperating with the FTC to make our workers whole.” 

No action is required by these employees as the FTC will issue refunds based on Amazon’s records.

Amazon Flex drivers who worked during that time are recommended to look out for more information from the FTC. Those who sign up on the FTC’s general distribution list can receive updates on the situation.

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