T-Mobile Agrees to Settle Class Action Alleging Employee Law Violations

A T-Mobile class action lawsuit stemming from allegations of employee law violations will end in a settlement if a California federal judge gives the okay. Under the terms of the proposed deal, T-Mobile would not have to admit liability, but would pay $8 million to a proposed Class of some 9,300 hourly employees who work in California T-Mobile retail locations.

Workers in the wage and hour class action lawsuit claimed that the telecom company violated California labor laws by not paying all wages due, not paying overtime, and not giving workers proper breaks. T-Mobile has agreed to settle the claims to avoid the possible costs and risks associated with continuing to litigate.

The T-Mobile employee law settlement would bring an end to more than two years of litigation. The agreement was announced Sept. 30 after more than a month of mediation between the parties.

Of the $8 million, $2.4 million is designated to pay attorney fees and $70,000 to cover legal costs. Some $300,000 is allocated for California’s Private Attorneys General Act payment. The lead plaintiff will receive $15,000 for his role in the wage and hour case.

The remaining amount will be divided among Class Members, who will receive about $4.99 for each week worked in a Class pay period. It’s estimated that most Class Members will receive approximately $560, while the highest amount paid will be $1,700.

Class Members include hourly T-Mobile employees who worked at a T-Mobile retail location in California.

If the $8 million settlement is approved, two additional T-Mobile class action lawsuits will be dismissed because those claims overlap with the wage and hour claims in the current case.

California has some of the strictest wage and hour laws in the country. They were designed to help ensure fair working conditions. Lawsuits allow employees to challenge unfair working conditions and can result in compensation if it’s determined that employees’ rights have been violated. 

One of those rights is overtime pay, which was also one of the claims made in the T-Mobile wage and hour class action. 

In general, employee law dictates that employees who are paid by the hour are entitled to overtime pay of 1.5 times their normal rate of pay if they work more than eight hours in any one day, and for the first eight hours worked on a consecutive day of work.

The California Department of Industrial Relations explains that employees are also entitled to twice their regular rate of pay for all hours worked in excess of 12 hours in any workday, or for all hours over eight hours on the seventh consecutive day of work.

Some employers try to get out of paying employees overtime because it adds up quickly and can be extremely costly. Critics have lamented that wage theft can often go unpunished in California, reports KQED.

 The T-Mobile Wage And Hour Violations Class Action Lawsuit is Case No. 1:17-cv-00339, in the U.S. District Court for the Eastern District of California.

Join a Free California Wage & Hour Class Action Lawsuit Investigation

If you were forced to work off the clock or without overtime pay within the past 3 years in California, you have rights – and you don’t have to take on the company alone.

Get a Free Case Evaluation Now