Arise Virtual Solutions to Pay $13 Million in Wage Dispute Lawsuit

Gig workers, or independent contractors, have some benefits. They can typically make their own hours and make a lot of money working for various companies. However, these workers often get taken advantage of. They are often the last ones to get paid, and many get paid much less than they thought.

This is what happened to gig workers working for Arise Virtual Solutions, which is based in Florida. The company recently settled three different lawsuits that claimed its platform treated call center agents as independent contractors and did not pay them the wages that were advertised wages.

The workers were shortchanged and paid much less than expected. Many agree that they were taken advantage of. Some saw their pay significantly reduced. Some call it an injustice.

No matter what you call it, the workers were not paid correctly. Numerous Arise workers in Central Florida, both past and present, were not fairly paid to do work through the Arise work platform. The platform allows people to perform work for major companies such as Walt Disney World, Barnes & Noble Booksellers, Home Depot, Comcast,  and Walgreens. In the most recent settlement, the U.S. Department of Labor’s Wage and Hour Division secured $3 million to compensate the 22,359 workers listed in the original complaint.

As part of the settlement, Arise has agreed to pay $3 million to the misclassified workers. Arise can continue to charge fees to use its platform as long as the money paid meets minimum wage, which is $12 an hour in Florida. Minimum wage and overtime must be guaranteed during training.

This case with Arise has been considered the largest misclassification case in the Labor Department’s history. This recent settlement follows a Federal Trade Commission (FTC) lawsuit over false advertising claims that Arise paid $7 million to the FTC. The third case involving the District of Columbia Attorney General settled for $3 million,

Arise does not admit to any guilt. The company claims that the settlement is not a finding or admission of liability on Arise’s behalf. The company is still operating and using independent contractors.

Workers can make a complaint about unfair wages on behalf of themselves or others. They do not have to worry about retaliation from employers, as the government will protect them. Those affected can file a complaint online on the U.S. Department of Labor’s Wage and Hour Division website.

Seek Legal Help

Businesses need to act ethically at all times. Making money can be hard at times, but taking advantage of customers and defrauding them of their funds is never OK.

Have you ever been scammed by a local company? If so, contact Fort Lauderdale business torts lawyer Edward J. Jennings, P.A. We have the experience to provide you with sound legal advice. Schedule a consultation today by calling 954-764-4330 or filling out the online form.

Source:

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