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Texas and Walmart Reach $13.3 Million Settlement Over Spark Driver Pay Claims

The agreement requires payments to drivers, changes to how pay and tips are shown, and a decade of state-supervised earnings checks to curb misleading compensation practices.

Overview

  • Attorney General Ken Paxton announced the settlement, which was finalized Monday and resolves a multi-year Texas inquiry into Walmart’s Spark Driver program.
  • Walmart has paid about $6.69 million in restitution to affected Texas drivers and agreed to an additional roughly $6.69 million for civil penalties, fees, and costs for a total of about $13.38 million.
  • The state’s investigation found that Walmart sometimes withheld or split customer tips, changed base pay after drivers accepted offers, and misstated requirements for incentive payments.
  • Under the Assurance of Voluntary Compliance Walmart must stop reducing promised earnings after a driver accepts an offer except in limited cases, accurately disclose estimated pay and tips, and run an earnings verification program that reports to Texas regulators for 10 years.
  • Walmart denies any legal wrongdoing but drivers have received payments and the attorney general’s office will continue reviewing Walmart’s records and marketing with the option of further enforcement if problems recur.