{"id":3565,"date":"2022-12-15T15:42:29","date_gmt":"2022-12-15T20:42:29","guid":{"rendered":"https:\/\/www.fslawfirm.com\/blog\/?p=3565"},"modified":"2022-12-15T15:42:46","modified_gmt":"2022-12-15T20:42:46","slug":"pepsi-to-pay-13m-in-unpaid-wages-after-kronos-hack","status":"publish","type":"post","link":"https:\/\/www.fslawfirm.com\/blog\/2022\/12\/pepsi-to-pay-13m-in-unpaid-wages-after-kronos-hack\/","title":{"rendered":"Pepsi\u00a0to\u00a0Pay\u00a0$13M\u00a0in\u00a0Unpaid Wages\u00a0After\u00a0Kronos Hack\u00a0"},"content":{"rendered":"\n<p>Pepsi, the multinational beverage and snack\u00a0producer, has resolved claims of <a href=\"https:\/\/www.law360.com\/articles\/1555790\/pepsi-s-13m-unpaid-wages-suit-from-kronos-hack-ok-d\" target=\"_blank\" rel=\"noreferrer noopener\">unpaid wages<\/a>\u00a0for nearly\u00a0$13 million after a New York federal\u00a0judge preliminary\u00a0approves the deal.\u00a0Approximately 70,000\u00a0current and former\u00a0hourly employees\u00a0who were employed\u00a0by Pepsi between\u00a0December 1, 2021\u00a0and the present\u00a0stand to benefit\u00a0from the $12.75\u00a0million\u00a0settlement.\u00a0The case, originally filed\u00a0January of this year, alleged that a widespread Kronos hack,\u00a0that caused an outage of\u00a0Pepsi\u2019s\u00a0timekeeping system for several months, caused them to\u00a0incorrectly keep track of their employees\u2019 schedules resulting in\u00a0significant underpayment.<\/p>\n\n\n\n<p>The lawsuit specifically alleged that&nbsp;after the&nbsp;Kronos&nbsp;cyber security incident, Pepsi&nbsp;wrongly decided to keep track of their employees\u2019 hours by&nbsp;taking the average of prior payments and other estimation&nbsp;measures. These&nbsp;averaging techniques of past pay periods did not accurately reflect all the hours thousands of&nbsp;employees worked leading up to&nbsp;the&nbsp;busy holiday season&nbsp;and beyond. This caused&nbsp;hourly employees who worked over 40 hours a week to be&nbsp;short on their regular hourly rate pay as well as time and a half overtime pay&nbsp;and additional&nbsp;claims of untimely&nbsp;pay.&nbsp;The case which was brought under the Fair Labor&nbsp;Standards Act&nbsp;(\u201cFLSA\u201d)&nbsp;as well as several&nbsp;state&nbsp;laws will see itself&nbsp;fullyresolved&nbsp;once it receives final approval&nbsp;this upcoming April.<\/p>\n\n\n\n<p>This case prompted several other&nbsp;proposed class actions&nbsp;under the FLSA&nbsp;that alleged unpaid wages due to the&nbsp;Kronos hack. There is no reason why hard working employees&nbsp;should have to carry the cost&nbsp;of the Kronos outage by accepting underpayment for months on end.&nbsp;Anytime an employer&nbsp;decides to calculate its workers\u2019&nbsp;overtime pay based&nbsp;on a formula&nbsp;that does not take into&nbsp;account&nbsp;the actual amount of overtime completed&nbsp;the result will be illegal pay practices. If you\u2019ve been a victim of improper wage payment, no matter the cause, you may be entitled to recover&nbsp;your pay and damages.&nbsp;Give our employment law firm, Fitapelli &amp; Schaffer, LLP, a call for a free and confidential consultation at (212)300-0375 or visit our website&nbsp;<strong><a href=\"http:\/\/Fslawfirm.com\" target=\"_blank\" rel=\"noreferrer noopener\">here<\/a><\/strong>&nbsp;for additional helpful information regarding your rights.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>\nPepsi, the multinational beverage and snack\u00a0producer, has resolved claims of unpaid wages\u00a0for nearly\u00a0$13 million after a New York federal\u00a0judge preliminary\u00a0approves the deal.\u00a0Approximately 70,000\u00a0current and former\u00a0hourly employees\u00a0who were employed\u00a0by Pepsi between\u00a0December 1, 2021\u00a0and the present\u00a0stand to benefit\u00a0from the $12.75\u00a0million\u00a0settlement.\u00a0The case, originally filed\u00a0January of this year, alleged that a widespread Kronos hack,\u00a0that caused an outage of\u00a0Pepsi\u2019s\u00a0timekeeping system for several months, caused them to\u00a0incorrectly keep track of their employees\u2019 schedules resulting in\u00a0significant underpayment.<\/p>\n<p>The lawsuit specifically alleged that&nbsp;after the&nbsp;Kronos&nbsp;cyber &#8230;<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":"","_links_to":"","_links_to_target":""},"categories":[1],"tags":[],"class_list":["post-3565","post","type-post","status-publish","format-standard","hentry","category-employment-law"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Pepsi\u00a0to\u00a0Pay\u00a0$13M\u00a0in\u00a0Unpaid Wages\u00a0After\u00a0Kronos 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