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An employee is accusing SmileDirectClub of failing to properly pay its workers.
In a class action lawsuit filed in federal court in Wisconsin on Monday, May 10, Lead Plaintiff Nichole Barkus claims the company — which manufactures and sells clear aligners — operates “an unlawful compensation system” that results in employees receiving inadequate compensation for all of their hours.
Barkus was first hired at the Nashville-based company’s location in Brookfield, Wisconsin, in July 2019, and has worked alongside other manufacturing and sales employees since that time, according to the lawsuit.
She claims that she, along with others who were employed at the Brookfield location in the three years prior to the filing of the lawsuit, regularly worked more than 40 hours per week without overtime compensation.
According to the lawsuit, the precise number of proposed Class members is unknown, but is believed to be more than 50 and should be ascertainable from SmileDirectClub’s own records.
Barkus, along with all of the rest of the proposed Class, was an hourly employee who was not exempt from overtime during the time period described in the lawsuit.
The lawsuit specifically claims SmileDirectClub shaved time off employees’ weekly timesheets through time clock rounding.
The company “compensated (Barkus) and all other hourly-paid, non-exempt employees based on the rounded times each workweek via its electronic timekeeping system, to their detriment and (SmileDirectClub’s) benefit.”
The lawsuit also claims SmileDirectClub often instructed employees to clock back in early from their mandated half-hour lunch breaks, yet failed to pay them for on-duty meal periods that were under 30 minutes, violating Wisconsin wage payment laws and resulting in the company’s failure to pay overtime compensation, resulting in a violation of the federal Fair Labor Standards Act.
For example, per the lawsuit, if Barkus or any other employee clocked out for a meal period and then returned and clocked in 20 minutes later, SmileDirectClub “failed to compensate said employees for not only the on duty meal period itself that lasted less than thirty (30) consecutive minutes, but also for the compensable hours worked and work performed immediately after ‘clocking back in’ at the end of the meal period and prior to the conclusion of the scheduled meal period (i.e., failing to compensate said employees for ten (10) minutes of work performed if the scheduled meal period was thirty (30) minutes in duration.”
The lawsuit alleges SmileDirectClub deliberately failed to compensate employees adequately despite having an accurate accounting of all employees’ hours worked.
“Defendant’s failure to compensate its hourly paid, non-exempt employees for compensable work performed each workweek, including but not limited to at an overtime rate of pay, was intentional, willful and violated federal law,” the lawsuit says.
Barkus remained employed with Nashville-based SmileDirectClub at the time the lawsuit was filed.
She is seeking certification of the Class, damages consisting of unpaid regular and overtime wages, and reimbursement for attorneys’ fees.
Do you believe an employer has ever deliberately failed to pay your regular or overtime wages? Let us know in the comments!
The lead plaintiff is represented by Walcheski & Luzi LLC.
The SmileDirectClub Improper Wage Payment Class Action Lawsuit is Nichole Barkus et. al, v. SmileDirectClub LLC., Case No. 21-cv-585 in the U.S. District Court Eastern District of Wisconsin.
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2 thoughts onEmployee Claims SmileDirectClub Operates ‘Unlawful’ Pay System For Employees
Any way I can join suit? I tried to sue them for this reason in 2019 and the unlawful way I was terminated. But I didn’t get back w Morgan and Morgan in time because I got really depressed.
Any way I can join suit? I tried to sue them for this reason in 2019 and the unlawful way I was terminated. But I didn’t get back w Morgan and Morgan in time because I got really depressed.