A federal judge in Idaho has granted preliminary approval to a $2.1 million settlement resolving wage claims against a group of Papa John’s franchise operators. The agreement will benefit nearly 3,000 current and former pizza delivery drivers who alleged that the company’s pay policies led to violations of both federal and state labor laws.
The lawsuit, first filed in 2017, claimed that the franchisee deducted unreimbursed expenses from drivers’ pay, such as costs for mileage, gas, and vehicle maintenance. This caused wages to fall below the legal minimum. Workers also alleged that they were not properly paid for overtime, a violation of the Fair Labor Standards Act (FLSA) and multiple state wage laws.
According to court documents, the settlement covers pizza delivery drivers who worked at franchise locations in Idaho, Colorado, Kentucky, New York, and North Dakota between 2011 and 2024. Under the terms of the settlement, approximately $2.1 million will be distributed among the class members after deductions for attorney fees, litigation costs, and administrative expenses. Each worker’s individual payment will depend on the number of hours worked and their employment location during the covered period.
This case highlights how many delivery drivers across the country lose income when unreimbursed expenses push their pay below minimum wage. Employers must ensure that workers are fully compensated for all time worked and that out-of-pocket costs do not unfairly shift business expenses onto employees.
If you are a delivery driver or hourly worker who believes your employer has failed to pay you the full minimum wage or overtime, you may have a legal claim. Contact Fitapelli & Schaffer for a free consultation. We represent employees in wage and hour cases nationwide and fight to recover the pay they have rightfully earned.