The Revenue Rises
Trending Now
Stock Market News UK Update: FTSE 100 &...
Stock Market News UK Update: FTSE 100 &...
DP Trading Room: Key Support Levels for the...
Stock Market News UK Update: FTSE 100 &...
Stock Market News UK Update: FTSE 100 &...
Stock Market News UK Update: FTSE 100 &...
Stock Market News UK Update: FTSE 100 &...
Retirees ‘stunned’ as market turmoil over tariffs shrinks...
Week Ahead: NIFTY Set To Open Lower; Relative...
Market Drop Compared to 2020: What You Need...

The Revenue Rises

Business

Consumer protection board sues Walmart and fintech firm over gig-worker driver pay access

by admin December 25, 2024
December 25, 2024
Consumer protection board sues Walmart and fintech firm over gig-worker driver pay access

The Consumer Financial Protection Bureau is suing Walmart and a financial technology firm, alleging they illegally forced drivers into using costly deposit accounts to receive their pay.

The agency alleges that Walmart and the vendor, Branch Messenger, forced the drivers, who were part of Walmart’s Spark Driver gig-work platform, to use Branch Messenger’s deposit accounts to collect their compensation — and would be terminated if they did not want to use this service.

The CFPB also alleges that Walmart and Branch Messenger misled workers about the availability of same-day access to their earnings, and that drivers had to follow a complex process to access their funds.

Even when they did access their funds, the CFPB alleges, the drivers faced delays or fees if they needed to transfer the money into an account of their choice — resulting in workers paying more than $10 million in fees since 2021 to transfer earnings.

“Walmart made false promises, illegally opened accounts, and took advantage of more than a million delivery drivers,” said CFPB Director Rohit Chopra. “Companies cannot force workers into getting paid through accounts that drain their earnings with junk fees.”

Walmart said in a statement that the CFPB’s suit was ‘riddled with factual errors’ and ‘exaggerations and blatant misstatements of settled principles of law.’

‘The CFPB never allowed Walmart a fair opportunity to present its case during their rushed investigation,’ it said. ‘We look forward to vigorously defending the Company before a court that, unlike the CFPB, honors the due process of law.’

In a statement, Branch Messenger said the CFPB’s suit ‘misstates the law and facts’ while omitting items designed to ‘mask the Bureau’s clear overreach.’

‘Despite the company’s extensive cooperation with its investigation, the CFPB refused to engage with Branch in any meaningful way about this matter, instead rushing to file a lawsuit,’ Branch said. ‘This approach makes clear that this litigation has nothing to do with the law or protecting workers and everything to do with the media attention garnered by a lawsuit involving one of the world’s biggest retailers.’

The CFPB has announced a flurry of rules and suits this month as the Biden administration winds down and the agency’s future is clouded by uncertainty. Last week, the CFPB sued three of America’s largest banks on accusations that they failed to curb fraud on the digital payments platform Zelle. The banks, as well as Zelle’s operator, which was also named in the suit, have denied the charges.

It also sued Comerica Bank for allegedly harming consumers enrolled in the federal government’s Direct Express federal benefits delivery program. Comerica has denied the charges and is countersuing the CFPB.

The agency also announced four separate rules, including one limiting bank overdraft fees that was immediately challenged by the banking industry.

NBC News earlier reported the agency had been weighing which rules to finalize before Republicans take control of all three branches of government. The GOP has signaled plans to defang the agency, while President-elect Donald Trump has named authors of Project 2025 — which calls for eliminating the CFPB — to influential positions.

Multibillionaire Trump donor Elon Musk, who is slated for a high-level cost-cutting role, has posted on his social platform X: “Delete CFPB.”

This post appeared first on NBC NEWS

previous post
DP Trading Room: Deceptive Volume Spikes
next post
S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7%

Related Posts

Home prices hit record high in June on...

September 3, 2024

Tesla’s law firm drafts Delaware bill that could...

February 20, 2025

Domino’s Pizza finally launches stuffed crust to keep...

March 5, 2025

Venu, a $42.99 per month sports streamer, has...

August 2, 2024

TNT’s ‘Inside the NBA’ headed for ESPN and...

November 19, 2024

Charter rolls out new Spectrum pricing and internet...

September 18, 2024

Chinese tea chain Chagee files for U.S. initial...

March 28, 2025

Why Chappell Roan and other artists find themselves...

February 9, 2025

Bucking trend, McDonald’s vows no egg surcharges as...

February 27, 2025

OpenAI closes funding at $157 billion valuation as...

October 4, 2024

    Become a VIP member by signing up for our newsletter. Enjoy exclusive content, early access to sales, and special offers just for you! As a VIP, you'll receive personalized updates, loyalty rewards, and invitations to private events. Elevate your experience and join our exclusive community today!


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Stock Market News UK Update: FTSE 100 & 250 Rise
    • Stock Market News UK Update: FTSE 100 & 250 Rise
    • DP Trading Room: Key Support Levels for the SPY
    • Stock Market News UK Update: FTSE 100 & 250 Rise
    • Stock Market News UK Update: FTSE 100 & 250 Rise

    Popular Posts

    • 1

      Polls show some good early signs for Kamala Harris

      July 26, 2024
    • 2

      Solana and Cardano: Solana is waiting for a new impulse

      July 18, 2024
    • 3

      The presidential race shifts — modestly, so far — toward Harris

      August 6, 2024
    • 4

      Donald Trump’s imaginary and frightening world

      September 23, 2024
    • 5

      DP Trading Room: PMO Sort on Earnings Darlings

      July 18, 2024

    Categories

    • Business (663)
    • Economy (965)
    • Politics (873)
    • Stocks (749)

    Disclaimer: therevenuerises.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2024 The Revenue Rises. All Rights Reserved.