The U.S. Department of Labor (DOL) recently obtained a federal order that forbids a California-based logistics company from retaliating against truck drivers who are seeking remedy for alleged labor law violations.
On September 25, 2024, the U.S. District Court for the Central District of California issued an order against Long Beach-based logistics company Cargomatic Inc., requiring the company to “to cease its repeated intimidation and threats directed toward drivers.”
Cargomatic uses a mobile app to connect truckers to customers who need freight transportation services. The company has contracted with Ceva Freight LLC, a subsidiary of Ceva Logistics in Torrance, since at least 2019, officials say.
According to the DOL , when a group of truck drivers sued Ceva Freight seeking unpaid wages and remedy for other labor violations, Cargomatic threatened to countersue the drivers for $150,000 in attorney’s fees. The drivers claimed that Cargomatic intimidated them and threatened to terminate them for exercising their rights under the under the Fair Labor Standards Act (FLSA) and the California Labor Code.