Walmart has agreed to pay $100 million to settle allegations that it deceived delivery drivers about their pay and tips, the Federal Trade Commission (FTC) announced.

The retail giant hires gig drivers, through its Spark Driver app, to deliver goods on an ad hoc basis to customers. Each delivery “offer” includes the amount of money a driver can expect from the gig. But Walmart didn’t pay the delivery drivers what they were promised, inflated the amount of tips they would receive, and misled customers by telling them 100 percent of any tips would go directly to the drivers, the FTC said in its complaint, filed along with 11 states, in U.S. District Court for the Northern District of California.

Adrianne Appel writes regulatory news, policy, and trends for Compliance Week. She previously reported about policy developments for Bloomberg Law and Bloomberg Government. Email: adrianne.appel@complianceweek.com LinkedIn:...