Worker Forms Union After CEO Breaks Verbal Agreement, Secures Significant Settlement
In a significant employment case, a dedicated driver took on a major distribution company after the CEO invalidated a verbal agreement. Twenty-five years ago, an 18-year-old driver was subcontracted to deliver newspapers across a rural route. Initially, a verbal agreement was made with the manager to compensate for the longer distance and fewer bundles with higher pay. The CEO, however, rejected this agreement and claimed that the absence of a written contract rendered it invalid.
Undeterred, the driver meticulously documented all aspects of the job, including hours worked, route specifics, and financial details. When faced with the refusal of time off and increasing work demands, he leveraged this documentation to build a case against the company. He discovered the distinction between dependent and independent contractors, leading him to file a comprehensive employment standards complaint and rally other drivers to do the same.
Image credits: Henri Mathieu-Saint-Laurent (not the actual photo)
Amidst attempts by the company to undermine the unionization effort—such as firing supportive staff and manipulating routes—the driver’s persistence played a crucial role. He joined forces with a major national union, which supported their cause. Despite facing retaliation, including being dismissed under dubious circumstances, he was reinstated following significant operational issues caused by the CEO’s son-in-law.
The legal and union battles culminated in a landmark victory for the driver. The tribunal ruled him a dependent contractor, awarding him substantial backpay, penalties, and interest. This decision not only secured his financial future but also strengthened the union’s position for other drivers. The driver eventually moved on to a successful tech career, with the final settlement helping him pay off his student loans and enjoy a celebratory steak dinner.
This case underscores the importance of documenting employment conditions and understanding contractor rights. The driver’s relentless pursuit of justice led to a significant financial settlement and lasting changes within the company, demonstrating the impact of standing firm in the face of unfair practices.
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Verbal Agreement Gets Voided
