On September 30, 2026, a former Walmart Spark delivery driver filed a class and collective action lawsuit against Walmart Inc. (“Walmart”) in the United States District Court for the Northern District of New York. The lawsuit alleges that Walmart misclassified Spark delivery drivers as independent contractors, and consequently, the drivers are owed minimum wages and overtime pay. The lawsuit also alleges that Walmart withheld drivers’ tips, failed to pay promised compensation, shifted business expenses onto drivers, denied paid sick time and failed to provide required wage notices and statements.

The complaint alleges that Spark Drivers are employees entitled to the protections of federal and state wage and hour laws, but that Walmart classifies them as independent contractors and fails to record and compensate them for all their working time. Spark Drivers allegedly were frequently paid less than the minimum wage and did not receive overtime premiums when they worked more than 40 hours per week.

The lawsuit further alleges that Walmart advertised tips and other payments that Spark Drivers did not ultimately receive and retained customer tips intended for drivers. According to the complaint, Walmart regularly failed to pay promised wages and at times retained or stole tips from Spark drivers. Spark Drivers were also required to cover gasoline, tolls, parking, vehicle insurance, and maintenance expenses necessary to perform Walmart’s deliveries. The complaint alleges that these expenses constituted unlawful deductions and further reduced drivers’ wages.

The lawsuit alleged Spark drivers are really not independent contractors for many reasons such as:

-Spark Drivers had to use the Spark app, which was completely controlled by Walmart;

-Spark Drivers could not set their rate of pay;

-Spark Drivers could not decide how Walmart charged customers to use the Spark delivery service;

-Walmart had to approve a Spark driver’s vehicle and sufficient car insurance;

-Walmart determines the specific delivery routes that drivers cannot deviate from.

Walmart is aware that Spark Drivers are not compensated properly, as evidenced by The Federal Trade Commission announcing a $100 million settlement with Walmart on February 26, 2026, resolving charges that the company deceived Spark Driver delivery workers regarding base pay, incentives, and customer tips.

Walmart may argue that Spark Drivers are subject to an arbitration agreement which prohibits Spark Drivers from proceeding in Court. Fitapelli & Schaffer will vigorously argue that Spark Drivers are engaged in interstate commerce as last mile drivers and thus the arbitration agreement should be declared invalid.

The former Spark Driver, Faith Vandemark, seeks to represent current and former Spark Drivers who worked for Walmart in New York, including a proposed New York class covering Spark Drivers who worked since October 1, 2020. The lawsuit, brought by Brian Schaffer and Hunter Benharris of Fitapelli & Schaffer, LLP, seeks unpaid minimum wages, overtime, promised compensation, withheld tips, unpaid sick pay, reimbursement of unlawful deductions, liquidated damages, statutory penalties, interest, and other relief.

If you worked as a Spark Driver for Walmart in New York or any other state since October 1, 2020, contact our law firm today for a free consultation, even if you have signed an arbitration agreement.

If you work as a Spark Driver or perform similar delivery work, being labeled an independent contractor does not necessarily mean you are excluded from employee wage protections. You can reach our firm, Fitapelli & Schaffer, LLP, for a free and confidential consultation at (212) 300-0375, or visit our website for additional helpful information regarding your workplace rights.

You can also view the filed complaint here.