Justia Class Action Opinion Summaries

Tyson employees working in the kill, cut, and retrim departments of an Iowa pork processing plant are required them to wear protective gear. The exact composition of the gear depends on the tasks a worker performs on a given day. Tyson compensated some, but not all, employees for donning and doffing, and did not record the time each employee spent on those activities. Employees sued under the Fair Labor Standards Act (FLSA) and an Iowa wage law. They sought certification of their state claims as a class action under FRCP 23 and of their FLSA claims as a “collective action,” 29 U.S.C. 216. The court concluded that common questions, such as whether donning and doffing were compensable, were susceptible to classwide resolution even if not all of the workers wore the same gear. To show that they each worked more than 40 hours a week, inclusive of time spent donning and doffing, the employees primarily relied on a study performed by an industrial relations expert, Dr. Mericle. He conducted videotaped observations analyzing how long various donning and doffing activities took, averaged the time, and produced an estimate of 18 minutes a day for the cut and retrim departments and 21.25 minutes for the kill department. These estimates were added to the timesheets of each employee. The jury awarded about $2.9 million. The Eighth Circuit and Supreme Court affirmed. The most significant question common to the class is whether donning and doffing is compensable under FLSA. Because a representative sample may be the only feasible way to establish liability, it cannot be deemed improper merely because the claim was brought on behalf of a class. Each class member could have relied on the Mericle sample to establish liability had each brought an individual action. View "Tyson Foods, Inc. v. Bouaphakeo" on Justia Law

Farmworkers filed a class action lawsuit against four corporate defendants. Two questions of Washington law were certified to the Washington Supreme Court, arising from this suit: The first question implicated RCW 19.30.010(2)'s definition of a "farm labor contractor." The second question implicated RCW 19.30.200, which imposed joint and several liability for Farm Labor Contractor Act (FLCA) violations. The certified questions required the Supreme Court to decide whether defendant-appellant NW Management and Realty Services Inc. was a "farm labor contractor" under RCW 19.30.01 0(2) and, if so, whether the other defendants "knowingly use[ d]" its services under RCW 19.30.200 (There is no dispute that NW was unlicensed at all times relevant to this case). The plain language of the FLCA compels the Washington Court to answer yes to both certified questions. View "Saucedo v. John Hancock Life & Health Ins. Co." on Justia Law

Plaintiffs filed a class-action suit against their former employer, Huntington Bank, alleging that the Bank failed to pay overtime compensation as required by the Fair Labor Standards Act, 29 U.S.C. 201-219. Plaintiffs moved to conditionally certify a class of all current and former employees whose primary job duty consisted of “underwriting,” or “providing [Huntington’s] credit products to customers after reviewing and evaluating the loan applications against [the Bank’s] credit standards and guidelines that governed when to provide those credit products to those customers.” The court certified a smaller class of underwriters. The court found, and the Sixth Circuit affirmed, that those who worked with residential-loan products are administrative employees and not entitled to overtime pay. Their job duties related to the general business operations of the Bank, and they exercised discretion and independent judgment when performing those duties. View "Lutz v. Huntington Bancshares, Inc." on Justia Law

Plaintiffs brought suit under the Fair Labor Standards Act (FLSA) against their employer, FTS, a cable-television business for which the plaintiffs work or worked as cable technicians. The district court certified the case as an FLSA collective action, allowing 293 other technicians to opt in. FTS Technicians are paid pursuant to a piece-rate compensation plan; each assigned job is worth a set amount of pay, regardless of the amount of time it takes to complete the job. FTS Technicians are paid by applying a .5 multiplier to their regular rate for overtime hours. They allege that FTS implemented a company-wide time-shaving policy that required its employees to systematically underreport their overtime hours. Technicians either began working before their recorded start times, recorded lunch breaks they did not take, or continued working after their recorded end time. Technicians also presented documentary evidence and testimony showing that FTS’s time-shaving policy originated with FTS’s corporate office. A jury returned verdicts in favor of the class, which the district court upheld before calculating and awarding damages. The Sixth Circuit affirmed certification of the case as a collective action and a finding that sufficient evidence supports the verdicts, but reversed the calculation of damages. View "Monroe v. FTS USA, LLC" on Justia Law

United Foods & Commercial Workers Union, Local 1473 filed a class action against Hormel Foods Corporation alleging that Hormel violated Wisconsin wage and hour laws by failing to pay employees for time spent putting on and taking off company-required clothing and equipment before and after shifts at one of Hormel’s canning plants. The circuit court ruled in favor of the Union, ordered Hormel to compensate its employees for time spent “donning” and “doffing” the required clothing and equipment, and awarded the class monetary damages of $195,087. The Supreme Court affirmed, holding (1) Hormel is required to compensate its employees for the 5.7 minutes per day spent donning and doffing the clothing and equipment at the beginning and end of the day; and (2) the required donning and doffing of clothing and equipment at the beginning and end of the day does not fall within the doctrine of de minimis non curat lex, as the wages involved are not a “trifle” either for the employees or Hormel. View "United Food & Commercial Workers Union v. Hormel Foods Corp." on Justia Law

BeavEx is a same-day delivery service that uses 104 couriers to carry out its customers’ orders throughout Illinois. By classifying its couriers as independent contractors instead of employees, Beav-Ex attempted to avoid the requirements of state and federal employment laws, including the Illinois Wage Payment and Collection Act (IWPCA), 820 ILCS 115, which prohibits an employer from taking unauthorized deductions from its employees’ wages. Plaintiffs, and the putative class, were or are couriers who allege that they should have been classified as employees of BeavEx for purposes of the IWPCA, and that any deductions taken from their wages were illegal. The Federal Aviation Administration Authorization Act of 1994 (FAAAA), 49 U.S.C. 14501(c)(1) expressly preempts any state law that is “related to a price, route, or service of any motor carrier.” The district court held that the FAAAA does not preempt the IWPCA and denied BeavEx’s motion for summary judgment. The court also denied Plaintiffs’ motion to certify the class but granted their motion for partial summary judgment, holding that Plaintiffs are employees under the IWPCA. The Seventh Circuit affirmed the denial of BeavEx’s motion for summary judgment, vacated the denial of class certification, and remanded for further proceeding View "Costello v. BeavEx, Inc." on Justia Law

The Alabama Corrections Institution Finance Authority ("ACIFA") and its ex officio vice president Kim Thomas appealed a judgment entered on a jury verdict awarding $5 million in compensatory damages to Albert Wilson, Donald Simmons, Rufus Barnes, Bryan Gavins, Joseph Danzey, and a class of current and former nonexempt correctional officers employed by the Alabama Department of Corrections ("ADOC"). The correctional officers sued ADOC and its commissioner alleging ADOC was violating its own regulations and state law in the manner in which it: (1) compensated correctional officers for overtime; (2) restricted the way correctional officers were allowed to use earned leave; and (3) paid correctional officers the daily subsistence allowance provided by law. The Supreme Court reversed the judgment in favor of the correctional officers, finding that there was a lack of substantial evidence in support of the officers' claims against ACIFA and against Thomas as ex officio vice president of ACIFA. As such, defendants were entitled to a judgment as a matter of law. View "Alabama Corrections Institution Finance Authority v. Wilson et al." on Justia Law

This putative class action was brought by Sandra Babcock, a corrections officer at the Butler County Prison in Butler, Pennsylvania. Babcock claimed that Butler County failed to properly compensate her and those similarly situated for overtime in violation of the Fair Labor Standards Act (“FLSA”). At issue in this appeal was whether a portion of time for the Butler County Prison corrections officers’ meal periods was compensable under the FLSA. The Third Circuit concluded there was no provision of the FLSA that directly addressed this issue. Two tests were suggested by other courts of appeal: one looked to whether the employee had been relieved from all duties during the mealtime; the other (more generally adopted) looked to the party to which the “predominant benefit” of the mealtime belongs. The District Court noted that the Third Circuit had not yet established a test to determine whether a meal period is compensable under the FLSA. After its review of this case, the Court adopted the “predominant benefit test” and affirmed the District Court. View "Babcock v. Butler County" on Justia Law

Appellees in this case were hourly, non-nursing employees of Arkansas Department of Veterans Affairs d/b/a Arkansas Veterans Home and Fayetteville Veterans Home (ADVA). Appellees sought class certification alleging that ADVA violated the Arkansas Minimum Wage Act by failing to pay Appellees for overtime hours worked. The circuit court found that class certification was appropriate as to claims alleging that ADVA automatically deducted thirty minutes daily from Appellees’ hours worked to account for meal breaks even though they were regularly required to work during their meal breaks. ADVA appealed. The Supreme Court reversed, holding that because Appellees’ claims were highly individualized, the circuit court abused its discretion in certifying the class action. Remanded with instructions to decertify the class. View "Ark. Dep't of Veterans Affairs v. Mallett" on Justia Law

The issue this case presented for the Georgia Supreme Court’s review came from a class action challenging a 2011 City of Atlanta ordinance and the subsequent amendment by the City of its three defined benefit pension plans. The Ordinance and Amendment increased the percentage of salary required as the annual contributions of the members of the Plans. The action filed against the City, the Mayor, and members of the Atlanta City Council (collectively “Defendants”), was on behalf of City employees who participated in the Plans prior to November 1, 2011, and had not retired prior to that date, which was the start date for the increase, and were otherwise subject to the Amendment. The complaint alleged that Defendants breached Plaintiffs’ employment contracts and violated the impairment clause of the State Constitution when Defendants passed the portions of the Ordinance which increased the amounts that the Plaintiffs were required to contribute to the Plans, even though Plaintiffs would receive the same amount of retirement benefits to which they were already entitled prior to passage of the Ordinance. Plaintiffs sought a declaration that the subject portions of the Ordinance violated the Impairment Clause and that Plaintiffs were not required to continue to make the increased contributions to the Plans, and an order enjoining and restraining Defendants from collecting or attempting to collect the increased contributions. After review of the parties’ arguments on appeal, the Supreme Court affirmed the grant of summary judgment in favor of Defendants on Plaintiffs’ claims of breach of contract and unconstitutional impairment of contract and their consequent requests for declaratory and injunctive relief. View "Borders v. Atlanta" on Justia Law