Walmart has agreed to pay more than $13 million to settle a Texas investigation into allegations that it misled delivery drivers in its Spark Driver Program about their earnings, marking one of the largest settlements involving gig economy worker compensation in the state’s history.
The settlement, reported by FOX 4 News Dallas on July 6, 2026, resolves allegations from the Texas Attorney General’s office that Walmart misrepresented driver compensation since at least 2021. Court documents filed in Collin County allege that the company promised drivers the full amount of customer tips that were later divided among multiple drivers or not paid at all in some cases. The state also alleged Walmart reduced pay on modified delivery offers without notifying drivers and provided misleading information about incentive programs.
Under the settlement terms, Walmart has already paid approximately $6.69 million in restitution to affected Texas drivers. The company agreed to pay an additional $6.69 million to the state for civil penalties, attorneys’ fees, and costs, bringing the total settlement value to more than $13.3 million. Walmart denied the allegations as part of the agreement, which was filed as an Assurance of Voluntary Compliance under the Texas Deceptive Trade Practices Act.
Texas Attorney General Ken Paxton stated: “I have secured millions of dollars for delivery drivers from Walmart to ensure that these hardworking Texans receive the tips and wages they deserve. Any big corporation that promises certain offers and pays in exchange for services must honor those promises.”
The settlement requires Walmart to adopt new safeguards, including a prohibition on reducing a driver’s promised earnings after a delivery offer has been accepted, except under specified circumstances. The company must also avoid misrepresenting estimated pay, tips, or incentive opportunities and maintain an earnings verification program subject to state oversight for 10 years.
The case highlights the growing scrutiny of gig economy compensation practices in Texas. The Spark Driver Program, used to deliver groceries from local Walmart locations, relies on independent contractors rather than employees. The settlement comes amid broader national discussions about the classification and compensation of gig workers, with several states implementing new regulations.
For Dallas-Fort Worth, the settlement has particular relevance. Walmart operates numerous stores across the metroplex, and many Spark drivers are based in the region. The Dallas Express has covered the broader trend of gig economy labor disputes in Texas, including the growing movement for transparent compensation in app-based work.
The 10-year oversight provision means that Walmart’s Spark Driver compensation practices in Texas will remain subject to state monitoring well into the next decade, setting a precedent that could influence how other companies structure their gig economy compensation programs in the state.
