Bankers Overtime Class Action Deal Struck with JPMorgan for $16M

Employees of JPMorgan Chase & Co. have reached a settlement with the bank in a bankers overtime class action lawsuit.

This overtime class action lawsuit, originally filed in 2011, alleged that JPMorgan neglected to pay its business bankers overtime.

JPMorgan has agreed to pay a total of $16 million to resolve the wage and hour claim.

Of the settlement, up to one third of the money will be set aside for the plaintiffs’ attorneys. The named plaintiffs and an additional four plaintiffs will apply for enhancement awards that will total approximately $95,000.

The bankers overtime class action lawsuit was filed by plaintiffs Kevin Royer, Kris Henry and Mikhail Lerman in New York federal court.

The lawsuit alleged that Chase was in violation of the federal Fair Labor Standards Act and laws in New York and New Jersey when it neglected to pay overtime wages to eligible business bankers.

Chase, in the meantime, argued that the business bankers were subject to overtime exemptions, and were therefore ineligible to receive overtime pay.

In addition to the original three named plaintiffs, 27 opt-in plaintiffs joined in the bankers overtime class action lawsuit, court documents show.

The settlement will be divided by allocating 86 percent of the settlement fund to class and collective members who did not have a signed arbitration agreement on file with Chase.

The left over 14 percent will be set aside for those class and collective members who had signed the arbitration agreement, which contains a waiver of class litigation.

The proposed settlement Class includes any Chase employees working as business bankers in 22 named states during the state’s particular class period.

For Class Members in New York, the time period is from Nov. 14, 2005 to April 1, 2013 and in New Jersey, the period is from Nov. 19, 2009 to April 1, 2013.

In the remaining 20 states, the covered period is Aug. 16, 2010 to April 2013.

Business bankers working for Chase in states outside of California and in the group of Class states are also eligible to participate in the JP Morgan Chase settlement as FSLA collective members.

Bankers Overtime Class Action Wage and Hour Allegations

Like many individuals filing individual as well as class action lawsuits, business bankers and the J.P. Morgan Chase overtime class action lawsuit allege that they were not fairly paid for the overtime that they worked.

In many cases, plaintiffs allege that their employer purposely misclassified them in order to skirt their obligations of paying overtime. Employees may be classified as exempt managers when in fact the duties they perform often have no managerial aspects to their job duties.

Sometimes employers may purposely do this in an attempt to have their employees work more time without being properly compensated, thus boosting their profits.

If you are currently not being paid overtime but believe you should be, you may request a free case review from a qualified attorney who can review the details of your situation and provide you information about the legal options available to you.

The Settled JP Morgan Chase Bankers Overtime Class Action Lawsuit is Kevin Royer, et al. v. JP Morgan Chase & Co., et al., Case No. 1:11-cv-08205 in the U.S. District Court for the Southern District of New York.

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