Walmart agreed to a $100 million judgment to settle charges brought by the U.S. Federal Trade Commission (FTC) and 11 states. The complaint alleged that Walmart misrepresented earnings for its Spark Driver delivery program. Regulators claimed the company inflated base pay and tip amounts shown to drivers. Walmart also falsely claimed that 100% of customer tips went to drivers.
The settlement prohibits Walmart from misrepresenting driver earnings in the future. The company must now implement a mandatory earnings verification program. Regulators alleged that Walmart's practices caused drivers to lose tens of millions of dollars in earnings. The FTC stated that protecting workers in the gig economy is a top priority. The agency emphasized that companies must provide transparent and accurate compensation information.