Chevron California refinery wages $1.925M class action settlement

Chevron and one of its contractors agreed to a $1.925 million class action lawsuit settlement to resolve claims they failed to pay California refinery workers for pre-shift work. 

The settlement benefits hourly workers provided by contractors at Chevron’s California refineries between Sept. 20, 2015, and Feb. 22, 2023.

The settlement also benefits a PAGA Class of the same workers provided by contractors at Chevron’s California refineries between July 17, 2018, and Feb. 22, 2023.

According to plaintiffs in the class action lawsuit, Chevron and three of it contractors — Newtron LLC, Performance Mechanical Inc. and Specialty Welding and Turnaround Services LLC — failed to pay workers for pre-shift work including transportation to work sites and time spent putting on protective equipment. The complaint says these policies resulted in unpaid wages in violation of California labor laws and the state’s Private Attorneys General Act (PAGA).

Chevron is an energy company with projects around the world, including refineries in California.

Chevron and Newtron haven’t admitted any wrongdoing but agreed to a $1.925 million class action settlement to resolve these allegations.

Under the terms of the California Chevron class action lawsuit settlement, class members can receive a cash payment based on the number of weeks they worked during the class period. 

No payment estimates are available at this time. Class members may receive a settlement payment and an additional payment for the settlement of PAGA claims.

Thirty percent of each Chevron settlement payment will be considered wages for tax purposes and will result in a W-2 tax form. The remaining 70% of each settlement payment will be considered non-wage damages, penalties and interest and will result in a 1099 IRS form. All PAGA payments will be considered penalties and interest and will result in a 1099 IRS form.

Class members may wish to consult a tax professional.

Any unclaimed funds in the Chevron settlement will be donated to the East Bay Community Law Center and Neighborhood Legal Services of Los Angeles County.

The deadline for exclusion and objection is May 22, 2023.

The final approval hearing for the settlement is scheduled for June 30, 2023.

No claim form is required for class members already on the class list. However, individuals who were omitted from this list but believe they are members of the class can submit a claim form with documentation by May 22, 2023. 

Required documentation includes names, mailing addresses, birth dates, Social Security numbers and written proof of employment. Claimants are not required but are recommended to provide their employee ID, employer name, dates of work and other supporting documentation.

Who’s Eligible

Hourly workers provided by contractors at Chevron’s California refineries between Sept. 20, 2015 and Feb. 22, 2023 (Class) or between July 17, 2018 and Feb. 22, 2023 (PAGA Class).

Potential Award

Varies.

Proof of Purchase

If not included in the class list, proof of class membership (name, mailing address, birth date, Social Security number, and written proof of employment) and optional documentation (employee ID, employer name, dates of work and other supporting documentation).

Exclusion Deadline

05/22/2023 (for omitted individuals).

Case Name

Clayborne, et al. v. Chevron USA Inc., et al., Case No. 4: 19-ev-07674-ISW-JCS, in the U.S. District Court for the Northern District of California.

Final Hearing

06/30/2023

Settlement Website

RefinerySettlement.com

Claims Administrator

Clayborne v Chevron USA
c/o JND Legal Administration
PO Box 91461
Seattle, WA 98111
info@RefinerySettlement.com
844-798-0758

Class Counsel

Jahan C Sagafi
Moira Heiges-Goepfert
OUTTEN & GOLDEN LLP

Steven Elster
LAW OFFICE OF STEVEN ELSTER

Defense Counsel

Catherine A Conway
Megan M Lawson
Michele L Maryott
GIBSON DUNN & CRUTCHER LLP

Mollie M Burks
Sat Sang Khalsa
GORDON REES SCULLY MANSUKHANI LLP