7-Eleven Franchisees File Class Action Alleging they should be Classified as Employees

Posted on: September 3rd, 2013 by Steve Larson

Blog Wage and Hour7-Eleven franchise owners filed a lawsuit in New Jersey against the Slurpee purveyor, alleging that 7-Eleven bolsters its profits by misclassifying store operators as franchisees “when they are in fact employees.”

The complaint accuses 7-Eleven of employing practices to enable it to avoid paying costs like minimum and overtime wages along with medical, pension, and other employment-related benefits. “[7-Eleven] has taken aggressive actions to abuse contractual rights and diminish franchisees’ value in their own investment,” the suit alleges.

Seven & I Holdings, the parent company of 7-Eleven, has expanded its footprint to more than 50,000 stores.