Papa John's Delivery Drivers Claim to be Underpaid

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Houston Pizza Venture, LP, HPV-C LLC, and HPV Staff, LLC are on the receiving end of a proposed collective action that claims they fail to adequately reimburse delivery drivers for gas and maintenance, causing their pay to fall below minimum wage. The defendants allegedly own and operate approximately 54 Papa John’s restaurants in Texas and require delivery drivers to use their own vehicles to deliver pizzas. According to the complaint, their “reimbursement policy and methodology fail to reflect the realities of their deliver drivers’ automobile expenses.” The plaintiff alleges that the defendants’ reimbursement rate falls well below the IRS calculation of a vehicle’s operating cost. He determined that, as a result, his hourly rate is about $3.35 or less, in violation of the Fair Labor Standards Act’s minimum wage requirements.