WASHINGTON, D.C. — The Federal Trade Commission (FTC) and the New York Attorney General have taken decisive action against Handy Technologies, now operating as Angi Services, for misleading workers with false earnings promises and failing to disclose hidden fees and penalties. The proposed settlement requires Handy to pay $2.95 million to compensate affected workers and implement significant operational reforms to ensure transparency moving forward.
The enforcement action centers on claims that Handy, a gig economy platform for home cleaning and repair services, misrepresented worker earnings and imposed inadequately disclosed fines, depriving workers—known as “Pros”—of millions in wages. According to the complaint, Handy’s advertisements featured exaggerated earnings claims that few, if any, workers could reasonably expect to achieve. For example, job postings claimed pay rates as high as $45 an hour for handyman services and $62 an hour for lawn care jobs, but the overwhelming majority of workers earned much less.
The deception extended beyond earnings. Handy’s flawed fee and fine policies also harmed thousands of workers. Among the most egregious practices was fining workers $50 for jobs canceled by clients without properly notifying Handy’s system—penalties levied even though workers had no control over the cancellations. Avoiding these fines required workers to follow complex and poorly explained procedures, such as granting GPS access and waiting at locations for extended periods.
“Handy Technologies relied on inflated and false earnings claims to lure workers onto its platform. It then deducted inadequately disclosed fines and fees from their wages,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection.
The financial impact of these practices was profound, particularly for workers relying on Handy as a primary income source. Handy’s own internal communications revealed that many workers subjected to these penalties depended on public assistance programs.
Under the terms of the proposed settlement, Handy must pay $2.95 million, which will be used to provide refunds to workers harmed by these practices. Additionally, the company is required to obtain informed consent from workers before charging any fines or fees, clearly disclose processes to avoid penalties, and substantiate any earnings claims in advertisements to align with typical worker outcomes.
New York Attorney General Letitia James underscored the significance of the settlement, emphasizing that New York workers cannot be misled or shortchanged by gig economy platforms. “Apps like Handy’s offer New Yorkers flexible job opportunities, but they cannot be allowed to lure workers with lies and false promises,” said James.
This enforcement action reflects the FTC and New York Attorney General’s broader commitment to safeguarding the rights of American workers and ensuring accountability within the gig economy. The settlement mandates immediate reforms to prevent Handy from engaging in similar practices in the future.
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