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Instacart agrees to pay $46.5M to shoppers, drivers in California

Workers were underpaid as independent contractors over the course of five years

Bill Wilson, Senior editor at Supermarket News

May 12, 2023

1 Min Read
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The reimbursement each shopper and driver will receive will vary depending on the number of hours worked between Sept. 13, 2015, and Dec. 15, 2020.Instacart

Instacart has settled a case for $46.5 million after the delivery giant was accused of paying workers as if they were independent contractors between 2015 and 2020. The suit said shoppers and drivers should be classified as employees. The settlement was actually reached in October 2022, but the final judgement was handed down recently.

The San Diego City Attorney’s office expressed gratitude for seeing hard-working Instacart shoppers receiving “the compensation they deserve.”

The reimbursements each shopper and driver will receive will vary depending on the number of hours worked between Sept. 13, 2015, and Dec. 15, 2020. The San Diego City Attorney’s office said about 308,000 were eligible to a portion of the settlement.

Affected workers will receive a notice of restitution eligibility by email. A timeline for the reimbursements has not been announced.

About the Author

Bill Wilson

Senior editor at Supermarket News

Bill Wilson is the senior editor at Supermarket News, covering all things grocery and retail. He has been a journalist in the B2B industry for 25 years. He has received two Robert F. Boger awards for his work as a journalist in the infrastructure industry and has over 25 editorial awards total in his career. He graduated cum laude from Southern Illinois University at Carbondale with a major in broadcast communications.

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