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Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Misclassifying Employees (Montana Settlement)

The state of Montana reached a $2.3 million settlement with FedEx Ground Package System over its failure to pay unemployment insurance on behalf of its drivers, who, the state determined, had been misclassified as independent contractors. An audit conducted by the Montana Department of Labor and Industry determined that, under Montana law, the drivers should be considered employees of FedEx, which therefore owed unemployment taxes, penalties and interest. Under the settlement, FedEx denied any liability or wrongdoing.

Misconduct Type
Labor
Enforcement Agency
State/Local
Contracting Party
None
Court Type
Civil
Disposition
Settlement
Date of Settlement
10/20/2010
Contractors Involved Penalty
Total
FedEx Corporation $2,300,000
Further Information Released
Montana AG Press Release 11/4/2010
Settlement Agreement 11/4/2010

Federal Contractor Misconduct Database