Company Accused of Violating California Break Laws Reaches Settlement

A transportation company alleged to have violated California break laws recently settled two wage and hour class action lawsuits with employees who accused them of violating a number of labor statutes.

In the first settlement, transportation company Renzenberger Inc. agreed to put up $4.55 million for a certified Class of over 3,700 workers who claimed their employer failed to provide mandatory paid rest breaks and improperly itemized worker wage statements.

In a separate but related action, the defendant has agreed to a $2.45 million payout to an additional 3,300 Class Members who allege they were not given rest and meal breaks and were not paid all wages that were owed.

Class Members are eligible to participate in both settlements.

The Defendant

Renzenberger Inc., the company alleged to have been in violation of California break laws, provides transportation services for railroads. Currently, the Kansas-based transport company operates more than 1,800 vehicles in 34 states across the country.

Employees transport train crews when it is time for shift changes as required by federal transportation law. When a train crew’s shift is over, the train is stopped at the nearest crossing. Renzenberger drivers bring the relief crew to the train and transports the off-duty crew members to the nearest lodgings or rail yard.

The Plaintiffs

The court divided the plaintiffs in the first class action into three subclasses. The first subclass represented drivers who transported train crews within and between rail yards. According to their complaint, Renzenberger paid drivers on a per-mile basis and failed to pay them for other required duties.

Another subclass argued that a company policy requiring employees to take rest breaks during periods of waiting while on the clock was a violation of California break laws.

The third subclass alleged that Renzenberger averaged drivers’ daily pay over the course of their scheduled days on duty in order to satisfy state minimum wage requirements – another violation of California’s labor statutes.

In the related second class action, plaintiffs alleged that their employer failed to pay all wages owed, including those due when an employee left the company. This lawsuit also alleges failure to provide break times for meals and rest, also in violation of California break laws.

Resolving Years of Litigation

The two proposed settlements will end a legal battle dating back to 2011, when the alleged violations began. Due to concerns over the defendant’s ability to pay the judgment, lawyers for plaintiffs in both cases spent over six months negotiating the settlement.

Under the preliminary motion to approve the settlements, all certified class members will be eligible to participate in both settlements, subject to final approval by all  parties concerned.

Your Rights as an Employee

Under California break laws, workers are legally entitled to regular, uninterrupted meal and rest breaks free from work duties and responsibilities. If these required breaks are not provided, the company must pay employees one hour for each break not given.

There are additional regulations governing overtime, reimbursement for employment-related expenses, and more. If you believe you and and others working for the same employer have been denied legal compensation or mandatory breaks, you may qualify to start or begin a class action lawsuit against the company.

The Renzenberger California Break Laws Class Action Lawsuits are Case No. 2:13-cv-06642 and Case No 2:17-cv-02972, U.S. District Court for the Central District of California.

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