What is a Wage and Hour Class Action?

A group of workers may want to pursue a wage and hour class action lawsuit, or collective action, if they feel that their employer has violated laws set by the California Labor Code and/or the U.S. Fair Labor Standards Act (FLSA). Often these lawsuits can represent thousands of employees who have suffered similar against their employer and lead to settlements worth millions of dollars.

If you are involved in a wage and hour class action lawsuit, you will want expert analysis and testimony to strengthen your case.

Common Reasons Why California Workers File a Wage and Class Action Lawsuit

  • Meal and rest breaks
    • Under California law, employees that are “non-exempt” must be given a 30-minute meal break if they work more than 5 hours in a single day, and two 30 minute breaks if they work more than 10 hours in a single day.

      Employees are also entitled to a 10-minute rest break if they work more than 3 ½ hours. When an employer does not abide by these laws, it could lead to a wage and hour class action lawsuit.

  • Unpaid Overtime
    • California labor laws regarding overtime are complex. Employees are entitled to overtime at 1.5 times their regular rate if they work more than 8 hours in a day, 2.0 times the regular rate if they work more than 12 hours in a day, 1.5 times their regular rate if they work more than 40 hours in a week, and 1.5 or 2.0 times their regular rate on the seventh day if they work all seven days in a week. Federal laws dictate that an employee who works more than 40 hours in a week is entitled to overtime pay at a rate of 1.5 times their regular rate. Failing to pay overtime properly can lead to a class action lawsuit.
  • Off-the-Clock
    • Off-the-clock work is work that is done for the employer without pay. The most common types of off-the-clock work we see are pre- and post-shift work, administrative work, re-doing work, and work done during a required meal or rest break. Under California law, the employer cannot require an employee to do work without pay.
  • Misclassification
    • Generally speaking, there are two types of employees: exempt and non-exempt. Examples of exempt employees include administrative, executive and professional employees. Exempt employees do not fall under the California wage and hour laws. Non-exempt employees, however, are protected by these wage and hour laws. Employees classified as exempt may sue claiming this was a missclassification.


How a CPA Expert Witness Can Impact Your Case

Whether you are a group of employees filing a wage and hour class action lawsuit or an employer with a class action lawsuit filed against you, these engagements can be complicated and data intensive. Often, an estimate or precise calculation of the company’s potential liability under Federal and California law is needed.

Hiring an expert witness can help you gather and analyze this information, and when you hire from Thomas Neches & Company, LLP, you know you are getting decades of expertise and knowledge to work on your case.

Representative Wage and Hour Class Action Engagements

SideCase NumberCase NameAttorneyLaw Firm
DefC 99 4834 SILynda A. Scherrer and David M. Feinstein v. Group Voyagers, Inc., et al.Paul J. HallNixon Peabody
Def02-10221-PBSStokes v. Grand Circle Travel, et al.Paul J. HallNixon Peabody
DefCV-98-7167 TJH (RNBx)Hydrick v. WilsonRandall R. MurphyCalifornia Department of Justice
DefC 03 2605 WHAMarian Dalke and Carole Chowen v. Titan Travel LimitedPaul J. HallNixon Peabody
DefBC343419Mara Gold, et al. v. Cache, Inc.Dale A. HudsonNixon Peabody
Def237497Herrera, et al. v. DCT, Inc., et al.Julie A. GonzalesPalmer Kazanjian Holden
Def07-463602Waltrous, et al. v. Group Voyagers, Inc.Paul R. LyndNixon Peabody
DefCGC-08-474278George Malak, et al. v. Unionbancal CorporationPaul J. HallNixon Peabody
DefSCV 244382David J. Guenther, et al. v. CrossCheck, Inc., United Bank Card, Inc., et al.Paul J. HallNixon Peabody
Def00317275Nimet Behar, et al. v. Union Bank, N.A.Paula M. WeberPillsbury Winthrop Shaw Pittman LLP
DefCGC-09-490765Dora Su-Ortiz, et al. v. Union Bank, N.A.Paula M. WeberPillsbury Winthrop Shaw Pittman LLP
PlnCV 09-7433-GHK (CWx)The Dominic Corea Limited Partnership, et al. v. ILD Telecommunications, Inc. et al.Angela C. AgrusaLiner Grode Stein Yankelevitz Sunshine Regenstrief & Taylor
DefFCS040110Ariann Cooper, et al. v. The Gymboree CorporationJeffrey M. LenkovManning & Kass, Ellrod, Ramirez, Trester LLP
DefBC 603619Steve Linares v. Menasha CorporationDale A. HudsonNixon Peabody LLP
Def30-2016-00874675-CU-OE-CXCManual Lopez, et al. v. Stonepeak Ceramics, Inc.Seth NeulightNixon Peabody LLP
Def2016-9655Kenneth Glazer v. Socata, S.A.S., et al.Bryan C. DalrympleNixon Peabody
Def3:18-cv-04097-WHONancy Pierce, et al. v. Encore Health Resources, LLCPaul J. HallDLA Piper LLP (US)

 


Work Performed in Wage and Hour Class Action Engagements

Typically, wage and hour class action engagements involve performing the following tasks:

  • Assemble daily hours worked for each class member from timesheet reports, which often are not in machine-readable format and must be input manually into a summary spreadsheet.
  • Assemble employee wage information for each class member from payroll reports, which also may not be in machine-readable format and must be input manually into a summary spreadsheet.
  • Combine hours worked and wage information for each employee to determine, on a weekly basis, daily (for California law cases) and weekly hours worked and the employee’s applicable regular rate.
  • Apply Federal and or California labor law to determine the weekly amount of overtime pay to which the employee is entitled.
  • Determine the compensation each class member actually received for each overtime hour.
  • Calculate the company’s potential liability for overtime wages due under alternative scenarios regarding applicable labor law and statutes of limitations.
  • In California wage and hour class action engagements, the analysis also typically includes the calculation of:
    • Wage statement penalties,
    • Waiting time penalties,
    • PAGA penalties,
    • Prejudgment interest.

IF YOU HAVE ANY QUESTIONS, PLEASE CALL THOMAS NECHES DIRECTLY AT 213.624.8150.

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