12-23-2025
New York’s Attorney General, Letitia James, filed a lawsuit against UPS for allegedly stealing wages from its seasonal workers. According to James, UPS unlawfully withheld millions of dollars from its seasonal workers by not giving them minimum wage, overtime, or other compensation as required by state and federal law. The state is seeking pay restitution from UPS. James said she believed other states would join the lawsuit against the delivery company.
UPS denied that it intentionally underpaid these employees. (New York Times) The company asserted that it offered “industry-leading pay and benefits” to the 26,000-plus employees in New York. It plans to continue complying with all applicable laws.
UPS hired two types of temporary workers for 55 facilities in New York: seasonal workers (driver helpers who ride along in delivery trucks to assist with package delivery), and seasonal support drivers (workers who deliver packages from their own personal vehicles). These workers allegedly worked off the clock, either before their shifts, after their shifts, or during unpaid meal breaks. For example, driver helpers who met up with the primary drivers during their routes had wait time that was unpaid. New York’s suit identified other examples where the workers were not wholly compensated for their time. UPS allegedly did not require a uniform method for seasonal workers to track their time, with some using apps or handwritten time tracking. James asserted these actions reflect “blatant wage theft” that allowed UPS to “save millions of dollars while seasonal workers struggled to support their families.” Apparently, New York learned of the issues through UPS’s regular employees who reported to their union observations of seasonal helpers not getting punched in on time and doing work off the clock.
Employers should monitor litigation outcomes and adjust policies accordingly.