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Groupon Sales Rep Overtime Claim Denied Class Status

CHICAGO — Recently, nearly 1,500 sales representatives for the online company Groupon Inc. were denied class certification in Illinois federal court. In their class action overtime pay lawsuit, the sales representatives claim they were denied overtime pay ever since the company went public in 2011. The Chicago federal judge who denied the certification ruled the sales representatives’ job duties, claims, and alleged injuries were too dissimilar for them to move forward as a group. However, the judge allowed them time to propose a smaller, more specific class or classes. If the sales representatives cannot propose an acceptable smaller class, they will have to pursue their claims individually.

The Representatives’ Claims

The plaintiffs claim Groupon violated Illinois minimum wage law when it failed to provide proper wage and overtime pay during two periods, between August 2008 and March 2011, and between August 2011 and the present. Although company paid overtime during the five month gap between those periods, it was less than required and less than promised.

According to Groupon, it only discovered in March 2011 that it was not paying sales representatives for overtime work. Groupon promised to pay back wages, but the plaintiffs claim that never happened. In addition to the state wage law violations, the sales representatives brought a proposed class action based on similar violations of the Fair Labor Standards Act (FLSA).

Individual Claims

Employees are not required to bring class action lawsuits in order to receive the wages, benefits, and overtime to which they are entitled. Class actions allow employees who experienced the same injury to seek relief as a group. In some cases, though, the violations may not be widespread, or the individuals’ circumstances may be different enough so as to make it difficult for the court to address the complaints one single ruling. In those situations, it is better for one to bring an individual claim. In some cases, an individual claim is stronger than a class claim.

Determining whether to bring an individual claim or a class action depends on a number of factors. If you believe you were denied overtime pay, contact our team of overtime pay lawyers today at (855) 754-2795, or complete a Free Unpaid Overtime Case Review form, to discuss your rights and options regarding an individual or class action overtime claim. If we accept your case, we will represent you under our No Fee Promise. You will not be billed for legal fees or other costs unless you receive a settlement.

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