Three states may sue FedEx for labor violations

[Craftsman]

NEW YORK (Reuters) – Three U.S. states said on Tuesday they plan to sue FedEx Corp, accusing the second-largest U.S. package delivery company of violating labor laws by illegally classifying drivers as independent contractors rather than employees to save money.

The attorneys general of New York, New Jersey and Montana intend to begin litigation against FedEx Ground Package System Inc after October 27, saying the unit of Memphis, Tennessee-based FedEx has caused a "serious injustice" to more than 1,000 drivers in the three states.

According to a letter to FedEx Ground released by New York Attorney General Andrew Cuomo, the misclassification causes the drivers to be deprived of workers' compensation coverage and the protection of state anti-discrimination and labor laws.

The states said this occurs though FedEx subjects the drivers to strict work rules, down to the colors of their socks, and to thousands of dollars of expenses to buy or lease trucks and use company uniforms and scanners.

http://news.yahoo.com/s/nm/20091020/us_nm/us_fedex_lawsuit

[Anakin Skywalker]

1. Pink Socks are a No-No? Hows About Polka-Dot Underwear?

[Sherman A1]

2. It would be nice to see how this plays out

I hope that FedEx gets nailed big time on the issue. The independent contractor thing is just bunk and everyone knows it, these people are employees and always have been.

[Craftsman]

3. I would actually like to see a crack down on the use of contract employees for full time perm jobs

If the job is perm they should be on the company payroll.

[Sherman A1]

5. I absolutely agree with you and hopefully

this will be a step in that direction. It's been screwed up for far too long, so it will take a bit to unscrew it.

[Omaha Steve]

4. Organize the independent contractors

Wish it could be done. UPS is mostly unionized though out the USA. Yet they can compete with FedEx and make a profit!

[Sherman A1]

6. Agreed

might be more of a challenge than organizing folks on the company payroll, but I don't see any reason why it couldn't be done in theory.