BREAKING: New York Attorney General Letitia James has just announced a lawsuit against UPS, alleging that the shipping giant unlawfully withheld approximately $45 million in wages from tens of thousands of seasonal workers over the past six years. This urgent legal action, filed in Manhattan, highlights serious allegations of unfair pay practices during the crucial holiday shipping season.
The lawsuit claims that UPS forced seasonal workers, including driver helpers and support drivers who use their own vehicles, to clock in well after their shifts began and deducted pay for lunch breaks that were never taken. James emphasized the gravity of the situation at a press conference, stating, “These individuals are struggling each and every day to make ends meet.”
According to the lawsuit, UPS’s actions could have impacted up to tens of thousands of seasonal workers, many of whom are employed on a temporary basis from October to January. These workers play a vital role in delivering an average of 22.4 million packages daily, contributing to UPS’s impressive $91.1 billion revenue last year.
UPS responded to the allegations, asserting that it “takes all accusations of wrongdoing seriously” and denying any claims of intentional underpayment. The company, based in Georgia, stated it offers “industry-leading pay and benefits” to its employees in New York and remains committed to adhering to all applicable laws.
The lawsuit not only seeks back pay but also demands that UPS change its timekeeping and payroll practices to ensure fair compensation moving forward. James launched her investigation into UPS in 2023 following complaints from the Teamsters Local 804 union about the treatment of seasonal workers.
Josh Pomeranz, the union’s director of operations, remarked that while there is no evidence of top management’s involvement, the alleged wage theft reflects systemic issues within the company’s practices. He noted that these are issues that “you have to actively ignore, not to see it happening.”
As this story develops, workers, unions, and the public will be closely watching how the legal proceedings unfold and what changes, if any, UPS will implement to remedy these practices. The impact of this lawsuit could resonate throughout the industry, highlighting the importance of fair labor practices during the busiest shopping season of the year.
Stay tuned for more updates on this urgent situation as it unfolds.