Vee Pak staffing discrimination $6.6M class action settlement

Vee Pak agreed to a $6.6 million settlement to resolve a class action lawsuit claiming that it discriminated against African Americans by denying them work opportunities.

The settlement benefits a staffing network subclass of African American laborers who sought work assignments at Staffing Network who were not assigned to work at Vee Pak between Jan. 1, 2011, and Dec. 31, 2015.

The settlement also benefits an ASI subclass of African American laborers who sought work assignments at Alternate Staffing Inc. who were not assigned to work at Vee Pak between Jan. 1, 2011, and Jan. 16, 2018, and an MVP subclass of African American laborers who sought work assignments at Personnel Staffing Group LLC, doing business as MVP, who were not assigned to work at Vee Pak between Jan. 1, 2011, and Oct. 21, 2013.

Plaintiffs claimed Vee Pak and several staffing agencies discriminated against African American workers who sought work assignments at Vee Pak. According to the class action lawsuit, these workers were wrongfully denied work assignments at Vee Pak based on their race.

Vee Pak manufactures beauty and personal care products and partners with industry brands.

The company has not admitted wrongdoing but agreed to a $6.6 million settlement to resolve the discrimination class action lawsuit.

Under the terms of the settlement, each claimant can receive an equal share of the net settlement for a maximum payment of $5,000. Actual payments may be lower depending on the number of valid claims filed.

Thirty percent of each claimant’s award will be considered wages and will be reported on an IRS Form W-2; the remaining 70% will be considered compensatory damages and interest and will be reported on a Form 1099 where mandated by the IRS. Appropriate tax withholdings will be made from the wage portion of the award. The claimants’ share of Federal Insurance Contributions Act (FICA) taxes will be deducted from their payment and reported in the Form W-2. Claimants are solely responsible for the reporting and payment of any federal, state, local income or other taxes on payments received under the settlement.

The deadline for exclusion is March 22, 2024. The objection deadline is April 12, 2024.

The final approval hearing for the Vee Pak settlement is scheduled for April 19, 2024.

In order to receive settlement benefits, class members must submit a valid claim form by March 22, 2024.

Who’s Eligible

Staffing network subclass: African American laborers who sought work assignments at Staffing Network who were not assigned to work at Vee Pak between Jan. 1, 2011, and Dec. 31, 2015.

ASI subclass: African American laborers who sought work assignments at Alternate Staffing Inc. who were not assigned to work at Vee Pak between Jan. 1, 2011, and Jan. 16, 2018.

MVP subclass: African American laborers who sought work assignments at Personnel Staffing Group LLC d/b/a MVP who were not assigned to work at Vee Pak between Jan. 1, 2011, and Oct. 21, 2013.

Potential Award

$5,000

Proof of Purchase

Social Security number

Claim Form

NOTE: If you do not qualify for this settlement do NOT file a claim.

Remember: you are submitting your claim under penalty of perjury. You are also harming other eligible Class Members by submitting a fraudulent claim. If you’re unsure if you qualify, please read the FAQ section of the Settlement Administrator’s website to ensure you meet all standards (Top Class Actions is not a Settlement Administrator). If you don’t qualify for this settlement, check out our database of other open class action settlements you may be eligible for.

Claim Form Deadline

03/22/2024

Case Name

Eagle, et al. v. Vee Pak Inc., et al., Case No. 12 C 9672, in the U.S. District Court for the Northern District of Illinois

Final Hearing

04/19/2024

Settlement Website

VPSettlement.com

Claims Administrator

Eagle v Vee Pak
c/o Atticus Administration
PO Box 64053
St. Paul, MN 55164
VPSettlement@atticusadmin.com
888-212-3832

Class Counsel

Christopher J Williams
NATIONAL LEGAL ADVOCACY NETWORK

Joseph Sellers 
Harini Srinivasan 
COHEN MILSTEIN SELLERS & TOLL PLLC

Christopher Wilmes 
Caryn Lederer 
HUGHES SOCOL PIERS RESNICK & DYM LTD.

Defense Counsel

MCDERMOTT WILL & EMORY LLP 

GOLDSTINE SKRODZKI RUSSIAN NEMEC AND HOFF LTD