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UPS Accused of Stealing Millions in Wages from Seasonal Workers
New York Attorney General Letitia James filed a lawsuit Monday against UPS, accusing the shipping giant of depriving tens of thousands of seasonal workers of approximately $45 million in wages over the past six years.
Filed in Manhattan state court, the lawsuit alleges UPS “repeatedly and persistently” failed to properly compensate driver helpers who assist with deliveries and seasonal support drivers who use their own vehicles during the busy holiday season. According to the complaint, the company forced some workers to clock in well after their shifts started and deducted pay for lunch breaks they never took.
“We oftentimes don’t think of these workers when we’re opening up our gifts for the holidays,” James said at a news conference announcing the legal action. “And these individuals are struggling each and every day to make ends meet.”
The lawsuit seeks back pay and penalties, plus a court order requiring UPS to end off-the-clock work practices and implement changes to its timekeeping and payroll systems. The shipping company, known for its iconic brown trucks and uniforms, delivered an average of 22.4 million packages daily and generated $91.1 billion in revenue last year.
Georgia-based UPS denied the allegations in a statement, saying it “takes all accusations of wrongdoing seriously and denies the unfounded allegation of intentionally underpaying UPS employees.” The company added, “We offer industry-leading pay and benefits to our more than 26,000 employees in New York, and we remain committed to following all applicable laws.”
The investigation into UPS began in 2023 after Teamsters Local 804, an employee union, raised concerns about the company’s treatment of seasonal workers. These workers are typically employed on a temporary basis from October to January to handle the increased shipping volume during the holiday season.
Josh Pomeranz, the union’s director of operations, suggested the alleged wage theft wasn’t necessarily directed from the top but represented “certain practices that you have to actively ignore, not to see it happening.”
The lawsuit comes at a time when labor practices at major logistics and delivery companies face increasing scrutiny. The seasonal shipping industry relies heavily on temporary workers during peak periods, creating potential vulnerabilities in wage compliance and worker protections.
Wage theft allegations are particularly significant in the logistics sector, where tight delivery schedules and performance metrics create pressure throughout the system. Seasonal workers often lack the job security, benefits, and union representation that permanent employees receive, potentially making them more vulnerable to labor violations.
The case highlights broader concerns about working conditions in the gig and seasonal economies, where temporary workers frequently report difficulties securing proper compensation and benefits. As e-commerce continues to grow, shipping companies like UPS have become increasingly dependent on seasonal workforces to manage holiday delivery surges.
If successful, the lawsuit could force changes not only at UPS but potentially across the shipping industry, as companies reassess their treatment of temporary workers. The $45 million figure represents a significant sum even for a company of UPS’s size, though it amounts to less than 0.05% of the company’s annual revenue.
The timing of the lawsuit is particularly notable as retailers and shipping companies prepare for another holiday season, when delivery volumes traditionally spike. For consumers awaiting holiday packages, the legal action serves as a reminder of the labor challenges behind the scenes of the modern delivery infrastructure.
The case will likely draw attention from labor advocates, other shipping companies, and regulators concerned about similar practices in other states and industries.
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17 Comments
This is a troubling revelation about UPS’s labor practices. I hope the lawsuit results in meaningful changes to ensure seasonal workers are properly compensated for their work.
Me too. Exploiting vulnerable workers is never acceptable, especially for a company as profitable as UPS. They need to make things right.
This lawsuit sheds light on the harsh realities faced by many seasonal workers. UPS needs to be held accountable and implement meaningful reforms to ensure fair treatment of all its employees.
Absolutely. Large corporations often prioritize profits over worker welfare. I hope this case prompts UPS to improve its labor practices and better support its seasonal workforce.
This lawsuit shines a light on the harsh realities many seasonal workers face. UPS needs to be held accountable for these unfair pay practices that deprive vulnerable workers of rightful wages.
I agree, these workers deserve fair compensation for their hard work, especially during the busy holiday season when UPS profits soar.
While UPS is known for its efficiency, this lawsuit suggests the company has been prioritizing profits over worker welfare. I hope the legal action leads to meaningful reforms.
Agreed. Large corporations often overlook the struggles of their lowest-paid employees. This case demonstrates the need for stronger worker protections and enforcement.
This lawsuit highlights the precarious situation many workers face, especially those in the logistics and delivery sectors. UPS must be held accountable and improve its labor practices.
It’s disappointing but not surprising to see a major corporation like UPS accused of mistreating its seasonal workers. This underscores the need for stronger labor laws and enforcement.
The alleged wage theft by UPS is unacceptable. Seasonal workers are the backbone of many industries, and they deserve to be paid fairly for their contributions.
The alleged wage theft by UPS is unacceptable. Seasonal workers are the backbone of many industries, and they deserve to be compensated fairly for their critical contributions.
The alleged wage theft by UPS is deeply concerning. Seasonal workers deserve fair pay and proper working conditions, especially for a company as successful as UPS.
It’s disappointing to see a major company like UPS taking advantage of seasonal workers. This underscores the need for stronger labor protections and enforcement to prevent wage theft.
Absolutely. Seasonal jobs are often a lifeline for many, so exploiting them is particularly egregious. I hope the lawsuit leads to real change at UPS.
This lawsuit highlights the challenges faced by many seasonal workers, who are often overlooked and underpaid despite their crucial role. UPS must be held accountable and improve its labor practices.
Agreed. Seasonal workers are essential, yet so often taken advantage of. I hope this case leads to real change and better protections for these vulnerable employees.