Walmart to Pay $100 Million After Federal Trade Commission Alleges Drivers Shortchanged on Earnings

discrepancies caused drivers to lose millions

BREVARD COUNTY, FLORIDA – Drivers who signed up for gig work expecting certain pay through Walmart’s Spark delivery platform may soon see compensation following federal action over alleged misleading earnings claims.

The Federal Trade Commission has alleged that Walmart misrepresented how much drivers for its Spark Driver delivery service would earn through tips, base pay and incentives. According to the agency’s lawsuit, the discrepancies caused drivers to lose millions of dollars in expected income.

Federal regulators contend that drivers were promised specific earning amounts that did not materialize once the work was completed. The case centers on claims that the company overstated potential compensation, creating expectations that were not met in actual payouts.

To resolve the allegations, Walmart has agreed to pay $100 million. The settlement includes payments the company has already begun distributing to reimburse drivers, as well as the creation of a fund for drivers who have not yet received the earnings and tips they were allegedly promised.

The FTC emphasized that companies advertising gig work opportunities, whether large corporations or smaller operations, are required to be truthful about potential earnings.

As gig work continues to attract people seeking flexible income through driving, delivering, repairing or completing on demand tasks, regulators are urging workers to carefully evaluate compensation claims before signing up.

Consumers considering gig opportunities are encouraged to examine how pay is structured, including whether compensation is hourly or per task, and to request a breakdown of earnings to confirm they match what was advertised.

The agency also recommends researching companies by reviewing complaints and speaking with current or former workers to better understand real world pay and potential expenses.

Anyone who believes a company is making misleading claims about expected earnings can file a report with the Federal Trade Commission at ReportFraud.ftc.gov.

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