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ShareThisFedEx Ground to Pay $3 Million to Massachusetts
Settlement covers tax liabilities in alleged misclassification of drivers
FedEx Ground will pay Massachusetts $3 million to settle allegations it misclassified delivery truck drivers as independent contractors, the state attorney general said.
The $3 million will go to the state's general fund and cover alleged underpayments in payroll taxes, workers compensation and unemployment assistance.
The settlement also provides a payment for 13 FedEx Ground drivers named in citations the attorney general filed against the company. The state first cited FedEx Ground in 2007 and later expanded its investigation.
The company, which faces a driver lawsuit in Massachusetts, denies liability in the settlement. That lawsuit is not affected by the agreement with the state.
FedEx Ground news from JOC.com:
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Fedex Ground to Build Fifth Chicagoland Sort Station.
-- Contact William B. Cassidy at wcassidy@joc.com.
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