Migliaccio & Rathod LLP is investigating whether Bimbo Bakeries USA misclassified certain route distributors as independent contractors and failed to pay them all wages and reimbursements required by law.
Bimbo Bakeries USA distributes products under brands that may include Arnold, Brownberry, Oroweat, Thomas’, Entenmann’s, Sara Lee, Ball Park, and Boboli. Certain route distributors may personally collect baked goods from company depots, deliver them to assigned retail locations, stock and rotate products, remove stale inventory, complete ordering and paperwork, and maintain company-required service standards.
Although these workers may be classified as independent business owners or required to operate through limited liability companies, the actual working relationship may resemble employment where Bimbo controls important aspects of the routes, stores, products, pricing, promotions, merchandising, and delivery expectations.
Reported Route Distributor Responsibilities and Expenses
Bimbo Bakeries route distributors may have been required to:
- personally drive and service routes nearly every day;
- obtain products from designated Bimbo facilities;
- deliver to assigned or predetermined retail accounts;
- stock shelves, rotate inventory, and remove stale products;
- comply with company pricing, promotion, merchandising, and delivery standards;
- perform ordering, returns, administrative work, and route paperwork;
- work more than 40 hours per week without overtime pay;
- purchase or finance a route or operate through a company-required business entity; and
- pay fuel, vehicle maintenance, insurance, handheld-device, spoilage, and other route-related expenses.
Why Route Distributors Should Be Concerned
Calling a worker an independent contractor does not necessarily determine whether that worker is legally entitled to employee protections. Courts and government agencies generally examine the practical realities of the relationship, including the level of company control, the worker’s opportunity for independent profit or loss, the permanence of the relationship, and whether the work is central to the company’s business.
A distributor who personally performs the route, has little meaningful control over stores, products, pricing, promotions, or service standards, and depends economically on Bimbo may have been misclassified.
Bimbo Bakeries route distributors may also perform substantial unpaid work before and after driving, including loading, ordering, inventory management, merchandising, returns, stale-product handling, and administrative tasks.
Potential Claims May Include
- Independent-contractor misclassification
- Unpaid overtime
- Minimum-wage violations after business expenses
- Unreimbursed vehicle and operating expenses
- Unpaid loading, merchandising, ordering, and administrative time
- Improper inventory, spoilage, or stale-product deductions
- Unlawful shifting of business expenses and losses
- Recordkeeping violations
We Are Interested in Hearing From Current and Former Bimbo Route Distributors Who:
- personally delivered Bimbo Bakeries products to retail stores;
- worked through a single-member LLC or other small business entity;
- were assigned a territory, route, or retail accounts;
- could not freely set prices, promotions, products, or delivery standards;
- regularly worked more than 40 hours per week;
- paid fuel, insurance, maintenance, route-financing, device, or spoilage expenses;
- performed unpaid loading, shelving, returns, ordering, or paperwork;
- had money deducted for stale, damaged, missing, or unsold products; or
- believe they were treated as employees despite being classified as independent contractors.
You may have rights even if your agreement described you as an “independent operator,” “independent distributor,” “route owner,” “business owner,” or contractor operating through a corporation or LLC.
If you distributed Bimbo Bakeries USA products and believe you were improperly classified or denied wages or expense reimbursement, please contact Migliaccio & Rathod LLP. There is no charge to speak with us, and there is no obligation to take legal action.
If you believe you encountered these issues, we would like to hear from you. Please complete the contact form on this page, send us an email at [email protected], or give us a call at (202) 470-3520.