Abraham Jewett  |  March 21, 2022

Category: Labor & Employment

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Worst Employers Class Action Lawsuit Overview: 

  • Who: Class action lawsuits have been filed and litigated recently against employers including Amazon, Target, Walmart and more. 
  • Why: Complaints have revolved around allegations of misclassification, improper compensation and discrimination, among other things.
  • Where: The class action lawsuits have been filed and litigated nationwide.

A prospective employee will likely take multiple things into account when choosing a company to work for. Good pay, benefits, friendly managers and a positive work environment are all things that may sit at the top of an applicant’s wish list. 

Employers are also a common target of class action lawsuits filed by current and former workers who feel they have been wronged by their employer. 

Claims revolving around unpaid overtime or other forms of unlawful compensation are often near the top of the list of worker complaints, in addition to allegations of discrimination and misclassification. 

Recently, a number of class action lawsuits have been filed against well-known employers, and, according to the complaints and the employees behind them, make these the worst companies to work for:

Amazon Faces Claims Of Discrimination, Unlawful Compensation

Several class action complaints filed against Amazon are currently in progress, including claims the company failed to pay its warehouse workers minimum wage. 

The complaint, which was removed to a federal court in November, argues Amazon failed to properly compensate workers for their time spent going through mandatory security screenings. 

Last month, meanwhile, Amazon asked a federal judge to pause a class action lawsuit claiming the company failed to compensate its workers for time spent completing COVID-19 temperature screenings before being allowed to clock in.  

In asking for the stay, Amazon argued the claims are “nearly identical” to ones lobbied against it by a different employer in a separate complaint. 

Amazon also asked a federal judge in February to dismiss claims it discriminates against heterosexual white male sellers on its website. 

The seller claims Amazon has a search engine feature which allows shoppers to highlight products sold by non-white sellers. Amazon argues the seller does not have standing

Also last month, claims Amazon discriminated against a Black former manager by firing him for reporting racial discrimination in its COVID-19 policies were dismissed by a federal judge in New York.

The former manager claimed he was let go from his position after reporting the allegedly racially discriminatory practices, specifically that the mostly Black and Latino lower-level line workers were allegedly given less pandemic protections than the mostly white managers. 

The judge overseeing the case determined the former manager had not plausibly alleged that he was fired because of his race, among other things. 

Walmart Dealing With Compensation, Discrimination Claims

Three separate complaints targeting Walmart made progress in January, meanwhile, including one that argued the company misclassified its night managers in order to make them exempt from receiving overtime pay. 

The federal judge overseeing that complaint, which had originally been filed as a class action lawsuit in 2016, declined to grant Walmart’s request for partial summary judgment in the case. 

Walmart had argued unsuccessfully that the statute of limitations had already run out on the claims, which was denied class certification in 2020. 

Also last month, a federal judge in California tossed the majority of a class action lawsuit lobbied against Walmart that alleged it failed to compensate workers for COVID-19 temperature checks needed to be completed before clocking in. 

The judge overseeing the case determined the workers’ claims were not specific enough

A new class action lawsuit was also filed against Walmart last month by a female worker arguing the company’s truck driver uniform policy is discriminatory against women. 

The worker argues that Walmart forces its drivers to either wear company-issued men’s pants or purchase their own uniform-compliant pants on their own dime. 

Former Worker Claims Target Must Pay Manual Workers Weekly

A class action lawsuit was also filed against Target last month by a former employee claiming the company fails to pay its manual workers on a weekly basis.

The former worker argues Target is required by law to pay on a weekly basis workers who regularly complete manual labor tasks rather than the bi-weekly basis it currently does. 

Krispy Kreme Faces Claims It Failed To Pay Minimum Wage, Overtime

Krispy Kreme was also the target of a class action lawsuit last month, filed by a former delivery driver who claims the company fails to pay both minimum wage and overtime pay.

The former worker alleges Krispy Kreme paid her a flat compensation and never informed her of what her hourly pay rate was. 

Worker Claims American Airlines Doesn’t Pay For Training Hours

A class action lawsuit was filed against American Airlines in February by an employee claiming the airline fails to adequately compensate its workers for the time they spend completing mandatory training

The worker argues employees are required by American AIrlines to complete quarterly training modules, which generally take around four to five hours, while off the clock.

Uber Agrees To Pay $8.4 Million To Settle Misclassification Claims

Also last month, Uber agreed to pay $84 million to settle claims it misclassified its drivers as independent contractors. 

The settlement, which will benefit around 1,322 Uber drivers in California, was made to cover the period before the state enacted Proposition 22, its new law revolving around the gig economy. 

Geico Settles ‘Total Loss’ Claims, Accused Of Retaliatory Firing

Geico, meanwhile, was on the receiving end of a January lawsuit lobbied at the company by a former employee who claims he was fired for complaining about not receiving a lunch break. 

The former worker argues that, after repeatedly complaining about the issue, he was ultimately let go from his position after he filed a lawsuit accusing Geico of not letting its employees take their 45-minute lunch break. 

A separate complaint filed against Geico led to the insurer agreeing to pay $24 million in October to resolve claims it didn’t reimburse customers properly for their totaled vehicles. 

The settlement was made to compensate drivers whose cars were determined to be a “total loss.” 

ABM Industries, Vail Resorts Agree To Pay To End Compensation Claims

Two more class action settlements were made recently by ABM Industries and Vail Resorts. 

ABM agreed to pay $2.3 million earlier this month to resolve claims it violated California labor law by failing to pay its employees proper wages. 

Vail, meanwhile, agreed to pay $13.1 million to put an end to allegations it failed to properly compensate its resort workers for all their time spent on the job. 

Workers argued they weren’t paid for time spent completing work-related tasks including staff training, meal breaks, traveling up the mountain and putting on their gear before their shifts. 

Have you been forced to work off the clock or without being paid overtime in the last three years? You may be eligible to join a free wage & hour class action lawsuit investigation! 


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