Yellow Pages Co. Wage and Hour Settlement is Reached

A Texas federal judge has approved a Yellow Pages Co. wage and hour settlement that is set to resolve numerous alleged violations of the Fair Labor Standards Act (FLSA) committed by YP Advertising & Publishing LLC.

With over $2 million approved for the Yellow Pages Co. wage and hour settlement,  the judge stated it was fair and reasonable.

According to the minimum wage lawsuit, the company had allegedly withheld employee overtime benefits in Texas and Missouri.

YP Advertising, joint venture of AT&T Inc. and Cerberus Capital Management LP, publisher of the Yellow Pages, received final approval from U.S. District Judge A. Joe Fish for the Yellow Pages Co. wage and hour settlement.

Judge Fish had certified the settlement of the class for former phone sales representatives who had worked for the company in Texas and Missouri from April 2011 to April 2016.

Judge Fish had also certified two separate, but similar, classes situated in Texas and Missouri to resolve claims over commission “chargebacks.”

The chargebacks had allegedly caused the paychecks of numerous sales representatives to be inaccurately calculated.

“The court finds that sufficient investigation, research and litigation have been conducted such that counsel for the parties are able to evaluate their respective risks of further litigation, including the additional costs and delay associated with the further prosecution of this action. [T]he court further finds that the settlement agreement has been reached as the result of intensive, arms’-length negotiations, including mediation with experienced third-party neutrals,” the Yellow Pages Co. wage and settlement stated.

Overview of the Yellow Pages Co. Wage and Hour Settlement

Judge Fish awarded $840,000 in attorneys fees, along with another $28,000 in legal expenses. In addition, lead plaintiff Christopher Dinkins and four other named plaintiffs were awarded $5,000 each.

Additional opt-in plaintiffs were also granted $1,000 service awards each, making the total of Yellow Pages Co. wage and hour settlement to be $2.1 million.

The Yellow Pages minimum wage class action lawsuit was filed in April 2014, after Dinkins and other sales representatives had allegedly received inaccurate paychecks and denied overtime.

Dinkins alleged YP Advertising had an illegal work policy of making chargebacks on commissions, which were paid out to sales representatives, according to the class action lawsuit.

YP Advertising had previously tried to have the suit dismissed in March 2015, which was denied by Judge Fish.

After two mediation sessions in July 2015 and January 2016, the parties had reached an agreement on the Yellow Pages Co. wage and hour settlement.

Judge Fish had granted preliminary approval of the settlement, and had conditionally certified the class of 750 members in April 2016.

This Yellow Pages Co. Wage and Hour Settlement Class Action Lawsuit is Christopher Dinkins et al. v. YP Advertising LP et al., Case No. 3:14-cv-01463, in the U.S. District Court for the Northern District of Texas.

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