FTC Chairman Andrew Ferguson discusses Walmart’s $100M judgment and addresses a New York Instances op-ed’s claims relating to the FCC and FTC on ‘Varney & Co.’
Walmart has agreed to a $100 million judgment to settle allegations that it deceived supply drivers about their pay and ideas, the Federal Commerce Fee introduced Thursday — a transfer FTC Chair Andrew Ferguson touted as “an enormous win for American staff.”
“We had been investigating Walmart and its representations that it was making to its supply drivers that tens of millions of Individuals use all throughout the nation, and the shoppers who’re utilizing the supply providers, about how a lot supply drivers had been going to be paid, whether or not the whole lot of your tip was truly going to go to drivers, which is what Walmart was telling each drivers and shoppers,” Ferguson advised “Varney & Co.”
“What we concluded in our investigation is that… Walmart was misrepresenting each how a lot drivers had been going to receives a commission and the place ideas had been going, each to drivers and shoppers, and that meant that drivers had been denied tens of millions and tens of millions of {dollars} that they thought they had been going to get once they signed as much as do these jobs for Walmart.”
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Andrew Ferguson, chair of the Federal Commerce Fee (FTC), throughout a Bloomberg Tv interview in Washington, D.C., on Aug. 22, 2025. (Stefani Reynolds/Bloomberg by way of Getty Pictures / Getty Pictures)
Ferguson mentioned the settlement would require Walmart to pay $100 million to drivers who “had been denied the total compensation that they’d been promised.”
He mentioned the event additionally requires the corporate to “redo its enterprise practices to verify drivers get what they’re promised” and guarantee representations made to each drivers and shoppers are “appropriate [and] correct,” and that the corporate “will stay as much as its guarantees.”
The FTC, together with 11 states, accused the retail large of deceiving Spark supply drivers about “base pay, incentive pay and ideas they might earn,” leaving them to “lose tens of tens of millions of {dollars}’ value of earnings,” in response to the company’s public affairs workplace.
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A Walmart retailer in Salinas, California, on April 8, 2014. (iStock / iStock)
“Labor markets can’t perform effectively with out truthful and non-misleading details about earnings and different materials phrases,” FTC Bureau of Client Safety Director Christopher Mufarrige mentioned within the press launch.
A Walmart spokesperson advised Reuters that the corporate has compensated affected drivers and is constant to challenge extra funds the place vital.
“We worth the onerous work and dedication of the drivers who ship nice service and merchandise to our prospects… We’re repeatedly enhancing procedures to make sure equity and transparency for drivers,” the spokesperson advised the outlet.
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Ferguson advised FOX Enterprise that the result is not restricted to Walmart.
“Any of the kind of gig supply providers that attempt to induce folks to do deliveries by making guarantees about compensation should be sincere about these guarantees, and we will maintain everybody to account – not simply Walmart,” he mentioned.
