FedEx Drivers Wrongly Classified as Independent Contractors, NLRB Rules

(Washington, DC) –In the latest of a series of decisions exposing FedEx Ground’s driver misclassification tactics, The National Labor Relations Board (NLRB) has ruled that 23 FedEx drivers in Northboro, Massachusetts, are employees and not, as FedEx wrongly contends, independent contractors.

The drivers who work for FedEx Home Delivery (FHD), a division of FedEx Ground, are seeking union representation from Teamsters Local 170 in Worcester, Massachusetts. The decision clears the way for the workers to hold an election in the next month. The ruling is yet another big setback for the company, which has been misclassifying drivers to avoid paying taxes and overtime, and to prevent workers from forming a union.

“This decision sends a clear message to FedEx Ground—stop misclassifying your workers to fatten your bottom line,” said Teamsters General President Jim Hoffa. “These workers deserve health and welfare benefits, competitive wages and a voice in the workplace.”

The ruling follows on the heels similar findings by the NLRB over the last two years.  The NLRB rulings also align with a California judge’s decision from 2004 which ruled in that FedEx single-route drivers in that state were employees and directed the company to reclassify the works by April 2006.

“Government agencies are finally taking notice of FedEx Ground’s tactics,” said Ken Hall, Director of the Teamsters Small Package and Parcel Division. “Until FedEx is stopped, it will continue to profit at the expense of these workers and all taxpayers.”

Massachusetts Attorney General Tom Reilly has opened an investigation into FedEx’s use of independent contractors and has taken notice of the ruling.

Founded in 1903, the Teamsters Union represents more than 1.4 million hardworking men and women in the United States and Canada.