Zara Agrees to $1.25M Settlement in Overtime Pay Dispute

Zara, the fast-fashion retailer, has agreed to a $1.25 million settlement to resolve allegations that it failed to include commissions in overtime pay calculations for approximately 500 employees. This agreement, which requires approval from a New York federal judge, was detailed in a letter filed by the employees’ attorneys at Fitapelli & Schaffer.

The plaintiff filed the lawsuit against Zara in May 2020, alleging that the company did not properly include commissions in the calculation of overtime ...

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Cleaning Team Alleges United Airlines Division Failed to Compensate for Overtime Hours

A United Airlines affiliate responsible for plane cleaning services allegedly did not adequately compensate cabin workers for overtime hours worked outside of their scheduled shifts, as alleged in a proposed class action lawsuit that the company, United Ground Express, transferred to Colorado federal court.

According to the complaint initially lodged in Colorado state court in February, the company had implemented a shift-exchange policy permitting workers to pick up shifts that others wanted to trade or have reallocated. ...

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Food Distribution Employees Prevail in Ohio Wage Lawsuit

A federal judge in Ohio provisionally approved the certification of a group of food distribution employees who alleged that they were required to work off-the-clock and during breaks without compensation. The judge stated that the workers demonstrated the company’s policies were consistently enforced across the board.

According to the judge, the workers submitted more than 10 affidavits from employees at various Shearer’s Foods locations nationwide, all detailing similar situations. These affidavits collectively asserted that the company mandates ...

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Attendance Bonuses and Calculating Overtime Under FLSA

Amid the aftermath of the pandemic, many employers have introduced weekly attendance bonuses to encourage employees to return to the office. However, many employees have now claimed attendance bonuses should be considered when calculating overtime pay and that by failing to do so, an employer is violating the Fair Labor Standards Act (FLSA).

These legal disputes revolve around the intricate calculation of the “regular rate” central to the FLSA. According to the FLSA, employers must compensate non-exempt ...

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Global Payments Settles Overtime Dispute with Remote Workers

Global Payments Inc., a financial technology company, has agreed to settle a lawsuit with over 100 remote customer service workers. The employees claimed they were systematically underpaid for the significant time spent starting up and logging into their computers systems daily. The agreement follows a mediation last month, and the parties anticipate finalizing the terms and submitting settlement approval papers in February.

The lawsuit, filed by the Plaintiffs in late 2022, alleged that remote call center workers, ...

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NY’s Upcoming Minimum Wage Boost

New York is set to see a significant shift in its minimum wage laws come January 2024, promising a crucial advancement for employees reliant on these baseline earnings. This change stands as a solid measure in addressing the mounting challenges posed by the ever-increasing cost of living and inflation.

As part of the FY 2024 Budget, New York’s minimum wage will increase until 2026 and then link it to inflation from 2027 onwards. This agreement aims to ensure ...

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Judge Approves $3.7 Million Overtime Settlement for Meat Processor in Ohio

A $3.7 million settlement between a meat processor and a class of employees in Ohio has been granted approval by a federal judge, effectively resolving their unpaid overtime claims and closing the case permanently.

The approved settlement will distribute $2.4 million proportionally among class members, comprising current and former non-overtime-exempt Fresh Mark production employees from February 22, 2019, up to the present. Considering the three-year statute of limitations, this payout equates to a 56% recovery of their total damages, leading ...

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SIM Scam Suit Allowed to Proceed in Washington

A federal judge in Seattle has rejected the majority of T-Mobile’s request to dismiss a potential class action lawsuit accusing the company of enabling SIM swap scams through its service. While two of the plaintiff’s claims have been dismissed, the judge has permitted the continuation of the remaining four allegations.

In February, a T-Mobile customer from Illinois filed a lawsuit claiming to have fallen prey to a “SIM swap scam.” In this scheme, fraudsters persuaded the wireless carrier to activate ...

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Understanding Clopening Shifts in New York City

In the world of employment law, the term “clopening” has gained traction in recent years, sparking discussions about fair labor practices in fast food restaurants. A clopening shift refers to the practice of scheduling an employee to close the business at night and then return to open it the next morning, often leaving little time for rest and recovery. This practice can be physically and mentally demanding and has raised concerns about its impact on employee well-being and safety.

A clopening ...

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Court Upholds Wage Increase for Food Delivery Workers in New York

On Thursday, a judge ruled in favor of New York City regulators, allowing them to proceed with increasing the minimum wages for app-based food delivery workers. This decision came after three major delivery companies contested the rule.

The recently enacted minimum pay legislation, designed to prompt tech companies to provide fairer compensation for gig workers, mandates that platforms initially pay workers around $18 per hour, beginning in October. This hourly rate will progressively rise to $20 by ...

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