LOS ANGELES — A California state court approved a $7.4 million settlement of three separate overtime class action cases brought by more than 1,600 pharmacists alleging violations of the Fair Labor Standards Act (FLSA) and California labor code. Under the settlement agreement, the average class member will receive $2,486, with the amount depending on the number of workweeks he or she worked during the class period. Each class member will see about $326 for each week that was in violation of FLSA.
The suit alleges that CVS required pharmacists to work more than six days in a row without paying time and a half for the hours worked on the seventh day.
Overtime Pay Required by FLSA
Under FLSA, covered employees must receive overtime pay for hours worked over 40 in a workweek at a rate not less than time and a half of their regular pay rate and for any hours worked beyond six days. There is no limit on the number of overtime hours an employee may work in a workweek, and he or she normally must be paid on the regular payday for the pay period in which the overtime pay was earned. In this case, the plaintiffs claimed that they worked a seventh consecutive day without being paid time and a half for hours worked during that seventh workday. Therefore, the plaintiffs in these lawsuits are seeking to get back pay for those unpaid overtime wages.
FLSA Settlements
Generally, settlement agreements under FLSA are only enforceable if it was entered into under the supervision of the U.S. Department of Labor or approved by a court. In determining whether a settlement claim is reasonable, courts should look at several factors, including whether the employees are represented by counsel, the amount of the proposed settlement in relation to the amount of likely recovery, if there is any evidence of fraud or collusion, and the complexity and likely duration of the litigation. Overall, courts will look at whether the settlement represents a fair and reasonable resolution of a bona fide dispute over FLSA provisions. In settlements of class-action overtime suits, notices must be sent to all similarly-situated employees of the settlement, its terms, and the opportunity to participate and recover.
If you or someone you know has a claim for unpaid overtime wages, you should call (855) 754-2795 or complete the Free Unpaid Overtime Case Review form on the top right of this page. Our top-rated team of overtime pay lawyers will evaluate your situation to determine your best course of action. We will also determine if it is in your best interest to file a lawsuit against your employer. There are strict time limitations for filing, so it is important that you call our experienced attorneys today.