Retailers denied class action status in FLSA lawsuit

A California federal court has denied retail employees in a Federal Labor Standards Act lawsuit class action status.

A former manager and assistant manager brought a lawsuit against a national clothing retailer, claiming they were improperly classified as exempt employees and were thus owed back overtime wages. The plaintiffs alleged their duties included non-managerial work such as customer service and merchandising, reported the Employment Class Action Update blog run by Jackson Lewis.

The plaintiffs sought class action status for themselves and other similarly situated workers, but according to the court, failed to establish grounds for the certification, according to Barnes and Thornberg LLP.

For class action certification, plaintiffs must demonstrate that the putative class is large enough that joining all parties would be impractical. They must also prove all individuals were affected by the same issues, that the claims of representatives are similar to those of all members, and that representation fairly represents the interests of the group.

The judge ruled that the individuals work situations varied too much to be considered as a class.

Maintaining accurate records of employee time can help employers deal with lawsuits. In cases of misclassification, a detailed statement of employee hours can assist workplaces in determining the appropriate amount of back pay owed.


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