Independent Contractor

[celadon]

What is the name of your state (only U.S. law)? Indiana

I am a Independent Contractor 1099. Is this the proper section to post my issue ?

 

[tranquility]

It might be, what's your question?

 

[celadon]

It might be, what's your question?

What is the name of your state (only U.S. law)? Indiana

I have been working as a Courier, Delivering auto parts for four years now. I work for a Large Courier Company, I am a Independent Contractor meaning I pay for my fuel, supply my own vehicle, I pay for everything and for the last four years I have been getting a fuel surcharge and a milage rate for every mile I drive.

This company has been paying me via a paper check since I was hired. Now all of a sudden this company decides they are going to hire a Company called Contract Management Services to handle all our payroll. This means now all our payroll will be in the form of Direct Deposit or Visa payroll card.

This was all good until we was told that this was mandatory that we sign up with this company, and we pay a $40.00 upfront processing fee (one time) and every driver will have to pay $5.00 per week every week as long as we are contracted with this courier company.

Can this courier company that im contracted with legally do this ? I mean they are charging me $5.00 per week to get access to my funds. There are all kinds of discounts from different retailers that this company offers, but what if I don't want to use the discounts? and I only take my payroll off of my card. Then I am being charged $5.00 per week to just access my payroll.

There are several drivers think what this company is doing is illegal and are trying to get a class action lawsuit started.

Any help would be greatky appreciated

 

[LdiJ]

What is the name of your state (only U.S. law)? Indiana

I have been working as a Courier, Delivering auto parts for four years now. I work for a Large Courier Company, I am a Independent Contractor meaning I pay for my fuel, supply my own vehicle, I pay for everything and for the last four years I have been getting a fuel surcharge and a milage rate for every mile I drive.

This company has been paying me via a paper check since I was hired. Now all of a sudden this company decides they are going to hire a Company called Contract Management Services to handle all our payroll. This means now all our payroll will be in the form of Direct Deposit or Visa payroll card.

This was all good until we was told that this was mandatory that we sign up with this company, and we pay a $40.00 upfront processing fee (one time) and every driver will have to pay $5.00 per week every week as long as we are contracted with this courier company.

Can this courier company that im contracted with legally do this ? I mean they are charging me $5.00 per week to get access to my funds. There are all kinds of discounts from different retailers that this company offers, but what if I don't want to use the discounts? and I only take my payroll off of my card. Then I am being charged $5.00 per week to just access my payroll.

There are several drivers think what this company is doing is illegal and are trying to get a class action lawsuit started.

Any help would be greatky appreciated

I don't think its illegal. Its totally tacky but I don't think its illegal. However, if you have an actual contract with them, then it could be a violation of your contract depending upon what the contract actually says. You are not an employee, you are a contractor and any lawsuit could result in the company declining to use your services in the future.

 

[celadon]

I don't think its illegal. Its totally tacky but I don't think its illegal. However, if you have an actual contract with them, then it could be a violation of your contract depending upon what the contract actually says. You are not an employee, you are a contractor and any lawsuit could result in the company declining to use your services in the future.

Thanks, the 20 or so drivers that are thinking about this class action did talk to a attorney or they say they did and they said the attorney said this was illegal. I do know in my contract it says nothing about charging me anything to get access to my funds.

 

[tranquility]

You'll have to clarify what your attorney feels is illegal. They cannot change how you are paid under your current contract. But, I suspect your "contract" is week to week and they don't have to renew your contract if you don't agree. As to if you are truly an independent contractor or not is the more difficult question.

 

[celadon]

You'll have to clarify what your attorney feels is illegal. They cannot change how you are paid under your current contract. But, I suspect your "contract" is week to week and they don't have to renew your contract if you don't agree. As to if you are truly an independent contractor or not is the more difficult question.

No my Current Contract is on a yearly basis and I am due to sign a new contract the first week of next month. but with over 1,000 drivers total I know some of the drivers are going to be like in the middle of their yearly contract when they are told they have to register with this company.

 

[tranquility]

Those who are currently under contract cannot have their method of pay changed in the manner you say as it would be a material change in the terms of the contract.

 

[celadon]

Those who are currently under contract cannot have their method of pay changed in the manner you say as it would be a material change in the terms of the contract.

Ok Thanks for your help