Lawsuit Claims Lyft Owes Drivers Unpaid Minimum, Overtime Wages

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A New Jersey Lyft driver claims in a proposed class and collective action that the rideshare company has failed to both reimburse drivers for business expenses and pay proper overtime wages.

According to the 14-page case, Lyft, Inc. has violated the federal Fair Labor Standards Act and two New Jersey labor laws by denying workers all minimum and overtime wages owed, and causing the drivers to shoulder the company’s business costs.

The case states that the plaintiff has worked for Lyft since December 2015 or January 2016 as a rideshare driver. Per the suit, Lyft has refused to reimburse the plaintiff for necessary expenses incurred while performing work for the company, including the costs of fuel and wear and tear on his vehicle. The complaint claims  that these unreimbursed expenses have caused drivers to be paid less than the minimum wage for each hour worked.

The lawsuit further alleges that although the plaintiff has sometimes worked more than 40 hours per week, Lyft failed to pay him any additional compensation for his weekly hours worked in excess of 40. Thus, the plaintiff was not paid at the proper time-and-a-half rate for his overtime hours, according to the complaint.

The case claims Lyft’s apparent failure to pay drivers in accordance with federal and state labor laws was intentional and not based on “any reasonable interpretation of the law.”

The lawsuit looks to cover individuals who worked as Lyft drivers in New Jersey within the last six years.

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