Megan K. Mechak
Tue, 11/01/2022
Delivery drivers for Domino’s Pizza stores in Michigan have settled their claims that their employers failed to pay them the minimum wage required by the Fair Labor Standards Act (“FLSA”) and Michigan’s minimum wage law for nearly $2 million. The delivery drivers alleged that their employers – Domino’s Pizza franchisees – failed to pay them at the applicable minimum wage by requiring them to use their personal vehicles for deliveries while simultaneously failing to properly reimburse them for job-related expenses including, but not limited to, vehicle expenses such as fuel, oil, insurance, parts, and maintenance.
According to the Court, the settlement fund represents 105% of the drivers’ estimated unpaid wages, using a three-year statute of limitations and a 54 cent per mile reimbursement rate. (Effective July 1, 2022, the IRS increased the business mileage reimbursement rate to 62.5 cents per mile). Each worker who opts into the case will receive at least $500, along with a proportional share of the remaining settlement proceeds based on the estimated number of miles they drove delivering pizzas.
The case is Mata v. STA Mgmt. LLC, Case No. 2:19-cv-11662, and was filed in the United States District Court for the Eastern District of Michigan. The Court approved the settlement on October 14, 2022.
Wage violations are common, particularly in the restaurant and food delivery industries. For more information on these common violations visit https://www.mselaborlaw.com/resources/private-employees/restaurant-and-food-services. If you are a restaurant or food delivery worker and believe you have not been properly compensated, please contact MSE at info@mselaborlaw.com.
