California Labor Commissioner cited a San Francisco-based airport van shuttle company $220,457 for multiple wage theft violations. American Airporter Shuttle, Inc., and its owner-operator Phillip Achilles, illegally misclassified their drivers as independent contractors. American Airporter must pay the six drivers $212,407 for minimum wages, overtime and meal period premiums, plus $8,050 in civil penalties to the state. “In misclassifying its workers as independent contractors, American Airporter Shuttle, Inc. gained an unfair competitive advantage by passing its expenses on to its workers,” said Labor Commissioner Julie A. Su. “The need for wage theft prevention is underscored by this company’s wrongful practices of paying sub-minimum wages and denying workers their on-the-job rights.”
The Labor Commissioner’s Office launched the investigation after receiving complaints from Asian Law Caucus, a legal and civil rights organization serving low-income Asian Pacific Americans. Investigators learned that the drivers, who worked from 60 to 100 hours each week with no off-duty meal periods or overtime, were required to pay the costs of operating their vans, licensing and airport transportation fees. The workers had been required to sign independent contractor agreements in a language they did not understand. Their work shifts, passenger lists and actions were under strict control and surveillance by the owner-operator and dispatchers. American Airporter failed to provide the drivers itemized wage statements showing wages earned, hours worked, and other information required by law. The company and Achilles must pay the workers $92,458.52 in lost wages, $91,926.58 for overtime wages, and $28,022.13 for meal periods. In addition, $8,050 in civil penalties is owed for failing to provide the workers itemized wage statements as well as minimum wage, meal periods and overtime violations. The civil penalties collected will be transferred to the State’s General Fund as required by law. For more useful information about making a wage claim, please see our wage / overtime claims page. And, whether you are an employer or an employee, if you have any questions about employee / independent contractor misclassification, feel free to contact us. Comments are closed.
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