A former driver for Ameritrans Express, a contract delivery company that delivers mail for the U.S. Postal Service, says he is owed more than $15,000 in back wages, overtime and mileage reimbursement. However, he says he and other former Ameritrans drivers are concerned about when or whether they will get their money after the Virginia-based company recently filed for Chapter 11 bankruptcy.
Dustin Paxson, 41, of Neskowin, Oregon, worked for Ameritrans Express for nearly two years, from April 2021 until February, when he claims Ameritrans stopped paying him and other delivery drivers.
Besides being owed six weeks’ pay, Paxson said he racked up thousands of dollars in credit card debt and fees to pay his living expenses and buy fuel for his truck to ensure customers along his routes received their mail.
“I worked 14-hour shifts, six days a week and leveraged all of my credit cards to the brink, paying everything out of my own pocket, just so I could do my job during that time,” Paxson told FreightWaves. “My wife, Deb, and I are still trying to climb out of that debt.”
Some mail subcontractors are owed four months’ pay from Ameritrans, Paxson said.
Paxson has filed wage claims with the Oregon Bureau of Labor and Industries (BOLI), the U.S. Department of Labor and now with the U.S. Bankruptcy Court for the Eastern District of Virginia, where Ameritrans filed for Chapter 11, in an effort to recoup the money he is owed.
The DOL’s Wage and Hour Division confirmed that it has an open investigation into Ameritrans but told FreightWaves on Friday it can’t “discuss additional details until the investigation is concluded.”
Rachel Mann, communications director for the BOLI, confirmed the agency is also investigating Ameritrans Express.
“We will communicate with them [DOL] to avoid duplicative work and ensure the best outcome for the worker,” Mann told FreightWaves on Wednesday.
This is welcome news for Paxson and his wife, Deb Gallant, who said they are still struggling to climb out of the financial bind they claim Ameritrans put them in five months ago.
“We are so far behind on everything and we need to get this money owed to Dustin,” said Gallant in an email to FreightWaves.
Paxson said he’s now an independent contractor and is paid directly by the Postal Service after his bid to deliver mail on his routes was accepted after “Ameritrans lost its contracts to haul mail.”
As of publication on Wednesday, a spokesperson with the Postal Service had not responded to multiple requests from FreightWaves seeking comment about Ameritrans’ contract status.
Ameritrans, headquartered in Dumfries, Virginia, filed its petition in the U.S. Bankruptcy Court for the Eastern District of Virginia on June 28. The company was founded by Frederick Amankwaa in 2013.
The company, which has taken down its website since FreightWaves first reported the story on Friday, stated it offers mail contracting services in more than 30 states.
As of last week, Ameritrans was advertising job openings for mail contract drivers.
The filing lists Ameritrans’ assets as between $10 million and $50 million and its liabilities as between $1 million and $10 million. Ameritrans stated that it has up to 999 creditors and maintained that funds will be available for distribution to unsecured creditors once it pays administrative fees.
Ameritrans’ largest secured creditors include 13 factoring companies that are owed nearly $3.2 million.
As of publication, Ameritrans’ attorney, Jonathan B. Vivona, had not responded to FreightWaves’ request seeking comment.
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Wayne N Dunn
What are the annual sales for Ameritrans Express?Ameritrans Express generates approximately $900,533 in annual sales. Allegedly, DOL had already filed a Case in previous years against Ameritrans Express LLC., “MANAGING MEMBER” Frederick Amankwaa Son of Samual “SAM” Asante ” MEMBER “,” MEMBER “. Frederick Amankwaa from VA., Sam Asante from MD. A former executive of a Florida-based trucking company pleaded guilty in federal court on June 12 to two counts of wire fraud related to mail contracts it had with the U.S. Postal Service (USPS).Alexei Rivero, 46, of Miami, Florida, served as vice president of Florida Carrier & Brokerage Service Inc., known as Florida Carrier, from March 2011 to September 2013. During that time, Rivero facilitated 22 contracts to haul mail for the USPS. According to the terms of the USPS contract with Florida Carrier, it was to pay its employee drivers prevailing wage and fringe benefits, including health insurance, vacation and holiday pay, as part of the McNamara-O’Hara Service Contract Act (SCA). Also included in the contract was that Florida Carrier would pay payroll taxes for Social Security, worker’s compensation, as well as federal and state unemployment taxes.
Wayne Dunn
Allegedly, DOL had already filed a Case in previous years against Ameritrans Express LLC., “MANAGING MEMBER” Frederick Amankwaa Son of Samual “SAM” Asante ” MEMBER “,” MEMBER “. Frederick Amankwaa from VA., Sam Asante from MD. A former executive of a Florida-based trucking company pleaded guilty in federal court on June 12 to two counts of wire fraud related to mail contracts it had with the U.S. Postal Service (USPS).Alexei Rivero, 46, of Miami, Florida, served as vice president of Florida Carrier & Brokerage Service Inc., known as Florida Carrier, from March 2011 to September 2013. During that time, Rivero facilitated 22 contracts to haul mail for the USPS. According to the terms of the USPS contract with Florida Carrier, it was to pay its employee drivers prevailing wage and fringe benefits, including health insurance, vacation and holiday pay, as part of the McNamara-O’Hara Service Contract Act (SCA). Also included in the contract was that Florida Carrier would pay payroll taxes for Social Security, worker’s compensation, as well as federal and state unemployment taxes.
Matt Perkins
Headline is a bit mis-leading. I thought this was an example of the USPS not paying their bills, but it’s just a carrier not paying the poor driver and leaving them to suffer. They just happened to run a dedicated lane for the USPS. Although the title got me to click more than saying “deadbeat carrier leaves drivers in debt”