Workers recently filed employment class actions against FedEx, Red Lobster, JP Morgan Chase, and Subway. The lawsuits allege improper pay and failure to provide lawfully required meal and rest breaks.
According to a report on TopClassActions.com, a federal judge also recently approved a class action settlement after allegations that Walmart failed to compensate workers for time spent doing pre-shift COVID-19 screenings.
Several Employment Class Actions Allege Labor Violations
Workers alleged that FedEx failed to pay drivers overtime owed. The lawsuit claims FedEx classified its drivers as independent contractors and thus denied them proper overtime pay.
FedEx drivers argue they should have been classified as employees because they worked full-time for the company while wearing the company’s uniforms and delivering packages in vehicles bearing the FedEx logo.
Drivers also said FedEx controlled their package delivery volume and the way they worked.
At Red Lobster, workers filed a class action against the restaurant chain, saying it paid workers who received tips below minimum wage.
One former employee claims the company gave incentives to managers at the restaurant to keep tipped employees’ wages low by giving them bonuses based on meeting or exceeding specific labor cost targets.
A class action against JPMorgan Chase says the bank failed to provide employees with required meal breaks and rest breaks. A former employee alleged that the company regularly assigned them too much work and had her regularly work longer hours and through her lunch breaks without pay.
In addition, she alleged that Chase failed to reimburse its employees for all their business expenses and provide them with accurate written wage statements. A former Subway employee alleged that the company failed to pay the accurate minimum wage and overtime pay to non-exempt employees.
Wage Theft is a Serious Problem in California
Wage theft is a significant issue in California, affecting thousands of workers annually. According to studies, California workers lose approximately $2 billion each year to wage theft, which includes unpaid overtime, minimum wage violations, and denial of meal and rest breaks.
Low-wage workers, particularly in industries such as agriculture, retail, construction, and hospitality, are disproportionately impacted.
A 2021 report by the Economic Policy Institute (EPI) found that about 17% of low-wage workers in California experienced minimum wage violations.
The California Labor Commissioner’s Office also recovered more than $138 million in unpaid wages in 2022, reflecting the scale of wage theft in California. Immigrant workers and vulnerable populations often face higher risks, as they may lack awareness of their rights or fear retaliation.
Despite California’s strong labor laws, wage theft remains a widespread problem.
Common Labor Violations in California
Common labor violations in California affect a wide range of workers and involve various workplace rights and protections.
Given the state’s robust labor laws, particularly under the California Labor Code and the Fair Employment and Housing Act (FEHA), violations can occur in areas such as wages, hours, safety, and discrimination. Below are some of the most frequent labor violations:
Wage and Hour Violations
One of the most common labor violations involves unpaid wages, including failure to pay minimum wage or overtime. California law mandates that most employees earn overtime pay for hours worked beyond 8 hours in a day or 40 hours in a week.
Employers often fail to comply by misclassifying employees as exempt or forcing them to work off the clock. Meal and rest breaks are also protected under state law, with violations occurring when employers deny workers these breaks or fail to compensate them properly for missed breaks.
Employee Misclassification
Employers sometimes misclassify workers as independent contractors to avoid paying benefits, such as health insurance, paid leave, or workers’ compensation. AB 5, a landmark law, has established strict criteria to determine who qualifies as an independent contractor, making misclassification a major violation.
Workplace Safety Violations
California’s Occupational Safety and Health Administration (Cal/OSHA) sets strict standards to ensure safe working conditions. Violations include failure to provide proper safety equipment, training, or protocols, which can lead to workplace injuries or hazardous conditions.
Discrimination and Harassment
Despite legal protections, workplace discrimination based on race, gender, age, religion, sexual orientation, or disability remains prevalent. Sexual harassment is also a significant issue, and employers may face lawsuits for failing to address these or for retaliating against victims who complain about such violations.
Retaliation
Retaliation against workers who report violations or unsafe conditions is illegal but widespread. Employers may retaliate by demoting, firing, or otherwise penalizing employees who assert their rights.
Victims of these violations have legal recourse, including filing claims with the California Department of Industrial Relations or pursuing employment lawsuits to recover damages.
What to Do If Your Employer Has Violated Wage Laws?
If your employer has violated wage laws, it’s important to take the following steps to protect your rights and seek proper compensation:
- Document everything. Keep thorough records of your hours worked, wages received, and any missed meal or rest breaks. Save copies of pay stubs and other wage-related documents. Accurate documentation will be essential when filing a claim.
- Review your rights. Familiarize yourself with California wage laws, including minimum wage, overtime, and break requirements. Knowing your rights can help you better understand the extent of the violations and the compensation you may be entitled to.
- Communicate with your employer. If you feel comfortable, discuss the issue with your employer or human resources department. Sometimes, wage violations are unintentional and can be resolved without further action.
- File a wage claim. If the issue is not resolved, file a claim with the California Division of Labor Standards Enforcement (DLSE). You can recover unpaid wages, overtime, penalties for missed breaks, and more. The DLSE will investigate your claim and, if necessary, hold a hearing.
- Contact an experienced employment lawyer. If your case is complex or involves significant amounts of unpaid wages, consider consulting an employment attorney. A lawyer can help you understand your rights, navigate the legal process, and pursue a lawsuit if needed. Retaliation for reporting wage violations is illegal, so report any retaliatory actions promptly.
Bisnar Chase has a dedicated team of employment attorneys with an outstanding track record in California employment cases, including class action lawsuits against major companies. Contact us today for a free consultation.
Source: https://topclassactions.com/lawsuit-settlements/employment-labor/fedex-walmart-others-face-employment-related-class-actions/
