Amazon settles a $4 million dispute over tips: examining how much drivers earn.
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Amazon will pay almost $4 million because they were taking tips from their delivery drivers. The attorney general of Washington, DC said Amazon was not honest about how they were using the tips.
This is not the first time Amazon has had to pay for doing this. Four years ago, they had to pay even more money for doing the same thing in other places.
The problem started in 2016 when Amazon changed how they paid their drivers. They started using the tips to make up for the lower amount they were paying the drivers.
Amazon promised their drivers they would make a certain amount of money per hour. But they used the tips to make up the difference instead of paying the drivers the full amount.
Amazon says they didn't do anything wrong, but they agreed to pay the money. They also agreed to be more clear about how tips are used in the future.
Questions
How much money will Amazon pay?
Amazon will pay almost $4 million.
What did Amazon do with the tips from their delivery drivers?
They used the tips to make up for the lower amount they were paying the drivers.
What did Amazon promise their drivers?
Amazon promised their drivers they would make a certain amount of money per hour.
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