Urban Outfitters Faces Allegations of Unpaid Wages and Overtime

A department manager at a California Urban Outfitters store alleges that he was wrongfully denied overtime benefits and seeks compensation for unpaid wages and overtime.

Plaintiff Brandon D. filed a suit against Urban Outfitters Inc. early this month, claiming that he was wrongfully classified as exempt from overtime protections under federal law and that the company failed to provide him with required benefits. He files his unpaid wages and overtime claim under the Fair Labor Standards Act (FLSA).

Brandon worked for Urban Outfitters from August 2012 to June 2013. He claims that he worked more than 40 hours a week without being paid overtime. As a department manager, he provided customer service, sold products, arranged merchandise, and set displays. He was supervised by the store manager, who was “responsible for overseeing the operations of the store,” according to the lawsuit.

Brandon alleges that Urban Outfitters did not analyze his job duties correctly when determining his eligibility for overtime. .

Fair Labor Standards Act

The Fair Labor Standards Act states “No employer shall employ any of his employees who is engaged in commerce or in the production of goods for commerce […] for a workweek longer than forty-four hours […] unless such employee receives compensation for his employment in excess of the hours above specified at a rate not less than one and one-half times the regular rate at which he is employed.” Therefore, Brandon’s alleged unpaid wages and overtime would violate FLSA rules.

Moreover, the lawsuit adds that the “Defendant did not provide sufficient money for the labor budgets, causing Plaintiff, who was not paid overtime, to work additional hours without compensation so that Defendant could avoid paying additional wages to its hourly (non-exempt) employees.”  Allegedly, poor budgeting was to blame for Brandon’s unpaid wages and overtime.

Throughout Brandon’s term of employment, he says that Urban Outfitters “… failed to maintain accurate and sufficient time records for Plaintiff. Defendant had a policy and/or practice that did not allow Plaintiff to record all hours worked.” Brandon also alleges that Urban Outfitters forced him to perform tasks that weren’t a part of his job duties to minimize labor costs in unpaid wages and overtime.

The Fair Labor Standards Act requires employers to pay employees for all hours worked at the proper rate of pay.

Urban Outfitters is accused of violating not only the FLSA but California labor laws as well. Brandon seeks trial by jury for violation of the FLSA, award of unpaid wages, damages, attorney fees, and court costs. Under the Fair Labor Standards Act, Brandon also seeks Urban Outfitter’s share of employment taxes.

The California Wage & Hour Lawsuit is Case No. 2:18-cv-00934-GJS in the US District Court for the Central District of California.