Walmart Agrees $100M Settlement, $79M in Driver Payments and 10-Year Oversight
Walmart will pay $100 million to settle FTC and multi-state claims it misled Spark delivery drivers on earnings and tips. The agreement allocates up to $79 million directly to drivers, $11 million to states, $10 million to the FTC and mandates a 10-year earnings verification program.
1. Settlement Terms
Walmart has agreed to a $100 million settlement resolving allegations that it misrepresented earnings to drivers in its Spark Driver program. The payment covers $10 million to the FTC, $11 million to participating states, and up to $79 million earmarked for affected drivers.
2. Driver Restitution
Under the settlement, drivers who accepted delivery offers based on advertised earnings will receive refunds, including at least $890,000 for Michigan participants. The FTC found that Walmart sometimes altered orders post-acceptance and failed to pass customer tips in full.
3. Compliance and Oversight
Walmart must establish an earnings verification program, prohibit order modifications after acceptance and submit annual reports to the FTC for the next 10 years. These measures aim to ensure transparency and accurate compensation for Spark Driver participants going forward.