Domino’s Pizza Alleges Underpayment of Delivery Drivers in Class Action Lawsuit
Domino’s Pizza delivery drivers are cut short to the amount they can reimburse for the miles driven during each shift, allegedly giving the restaurant a financial boost at the expense of drivers, according to a new class action lawsuit.
Maksudur Gazi filed a class action lawsuit against Domino’s Pizza and other franchises in a New Jersey court on Wednesday, accusing violation of New Jersey State Wage and Hour Law and the federal Fair Labor Standards Act (FLSA).
According to Gazi, Domino’s maintains multiple franchisees and employs delivery drivers to distribute pizzas using their automobiles.
However, the class action lawsuit contends that instead of compensating delivery drivers for the approximate expenses of business usage of their automobiles, Defendants use a faulty process to compute reimbursement rates.
The Class Action Lawsuit
The lawsuit claims that the faulty approach yields a rate that is so insufficient that it falls below “any reasonable approximation” of the expenses incurred by the drivers that their pay goes beneath the federal minimum wage.
Plaintiff Gazi, who worked for a Domino’s Pizza franchise in New Jersey from March 2017 to March 2020, states he filed the lawsuit to receive unpaid minimum wages and overtime hours owed to him and other similarly situated delivery drivers of Domino’s Pizza restaurants.
Additionally, he claims that the delivery drivers will have less fuel efficiency and higher repair expenses than the ordinary vehicle, owing to frequent engine starts and stops, repeated braking, and operating under time constraints.
Furthermore, the IRS business mileage reimbursement rate was between $0.545 and $0.58 per mile, which reasonably reflected the automotive expenses incurred delivering pizzas. The plaintiff, however, claims that he only reimbursed a rate of $0.20 for each mile traveled when he was working.
According to the class action lawsuit, each mile traveled on the road deducted at least $0.345 from his net income.
The claim states that all of Domino’s delivery drivers had comparable experiences to that of Gazi.
They were covered by the same:
- Reimbursement policy
- Received comparable reimbursements
- Suffered identical automobile expenditures
- Performed similar lengths and frequencies
- Paid at or almost minimum wage prior to deducting unreimbursed expenses
Plaintiff is initiating the class action lawsuit on behalf of other similarly situated delivery drivers. He is seeking monetary damages, attorney’s fees, costs, and interest, as well as a jury trial.
Similarly, in 2016, a class action lawsuit was filed against Domino’s Pizza by a group of its drivers. They claimed that a franchisee kept delivery surcharges that the majority of customers would consider a tip. Thus, violating Massachusetts state law.
Editor’s Note on Domino’s Underpaying Delivery Drivers Class Action Lawsuit 2021:
This article is meant to inform you of the latest class action lawsuit filed against Domino’s Pizza due to cutting short the amount delivery drivers can reimburse for the miles driven during each shift.
Case Name & No.: Maksudur Gazi et al., v. MSNF Foods LLC et al., Case No. 3:21-cv-12665
Jurisdiction: U.S. District Court – District of New Jersey Trenton Division
Products/Services: Unfair wage practices
Allegations: Instead of properly compensating delivery drivers, the company allegedly used a faulty process to compute reimbursement rates.
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