LOS ANGELES — Billionaire entrepreneur Elon Musk’s SpaceX company recently agreed to a multimillion dollar payout to settle claims with thousands of former workers claiming the space travel company’s business practices denied employees overtime pay due under California wage and labor laws. Approximately 4,000 former SpaceX workers will share part of the $4 million settlement with each claimant receiving an average of $500 to $2,000, depending on how many overtime hours each individual accrued while on the job.
Three separate groups of plaintiffs originally filed lawsuits against the company between August of 2014 and October of 2015 in Los Angeles Superior Court and were subsequently consolidated by the judge hearing the claims. According to reports, one plaintiff in the class action suit attempted to block the settlement, arguing that he should receive more time to investigate his own claim against the defendant but a judge rebuffed the maneuver and advised the individual to opt out of the class action if necessary.
Under California wage and labor laws, all workers must receive an uninterrupted 30-minute meal and rest break immediately following four hours on the job or be paid an additional hour of regular pay as compensation. Furthermore, California laws entitle workers to overtime wages after eight hours on the job, making them some of the most robust protections afforded to workers in the entire country.
In this case, SpaceX employees claim supervisors constructed schedules in such a way that workers cannot possibly take their uninterrupted 30-minute meal break as mandated by California law. Furthermore, the plaintiffs claim they were not compensated for the extra time spent working on the job and SpaceX refused to make the payments for all their hard earned wages.
While Elon Musk may be notorious for working as many as 100 hours per week, his company’s employees should not be subject to the type of schedule that deprives workers of rest periods or compensatory pay in lieu of a meal break. Hopefully, the lawsuit helped to spur changes necessary to ensure future compliance with all state and federal labor regulations.
California Unpaid Overtime Lawsuits
Call (855) 754-2795 or complete the Free Unpaid Overtime Case Review form on the top right of this page if you believe that your wage rights are being violated under the FLSA. Our top-rated team of unpaid wage lawyers will evaluate your situation to determine your best course of action to help you seek justice.
Our office will also determine if it is in your best interest to file a lawsuit against your employer. Because strict time limitations apply for filing these types of claims, we advise you contact our experienced unpaid overtime wage attorneys at your earliest convenience and preserve your legal rights.