Calif. Chase Bank Wage and Hour Class Action Settlement

Chase Bank has agreed to pay $5.9 million to resolve allegations that they failed to pay sufficient wages to their California workers or provide compliant breaks.

The settlement benefits individuals who were employed by JPMorgan Chase Bank in California between Nov. 17, 2016 and Aug. 1, 2019 in a variety of teller and banker positions. A full list of applicable positions is available in the “Who’s Eligible” section below.

Plaintiff Paulina Vega claimed that, while she worked for Chase Bank as a personal banker and teller, she was denied overtime, minimum wage, breaks and other benefits she claims to have been owed. These actions allegedly violated California Labor Code and federal labor laws.

Vega claimed that Chase Bank forced her and other employees to work off-the-clock without receiving minimum wage or overtime due to security checks. After clocking out, employees were allegedly forced to wait around five minutes for another employee to let them out of the bank.

The company also reportedly failed to record time worked for Vega and other employees, meaning they that went uncompensated for their work. These violations allegedly resulted in inaccurate wage statements.

The former Chase Bank employee also claimed that rates of pay – including overtime wages – were improperly calculated because incentive pay, non-discretionary bonuses, and other forms of compensation were not considered. This was reportedly a problem if Vega or other employees worked sufficient hours to be paid overtime wages.

The Chase Bank class action lawsuit claimed that workers were denied proper meal and rest breaks due to understaffing.

Vega argues that Chase’s corporate policy of understaffing caused these missed breaks. Even worse, employees were allegedly discouraged from taking their meal breaks.

“Defendants had, and continue to have, a company-wide policy of staffing branch locations strictly based on a labor budget allocated by corporate for each market, and subsequently broken down by each branch location, which was set on a quarterly basis and based on the perceived demand in each market or branch location,” the Chase Bank class action lawsuit claimed.

“Defendants’ policy resulted in chronic understaffing such that there were too few employees on duty to handle the workload and be available to provide meal break coverage.”

Based on California law, Vega and other employees were therefore entitled to one additional hour of work for each rest period they were denied, according to the Chase Bank class action lawsuit. However, Chase Bank allegedly lacks any timekeeping or payroll system which can track when a meal period was missed.

Chase Bank has not admitted any wrongdoing but has agreed to pay $5.9 million to resolve the claims against them.

After fees, costs, and plaintiff awards are paid, a net settlement fund of more than $3.6 million will be distributed amongst eligible Class Members. Of this fund, 50 percent will be used to compensate workers for unpaid wages, 25 percent will pay penalties and the remaining 25 percent will pay for interest.

Exact payments to Class Members will vary based on the number of biweekly pay periods worked by claimants. The number of pay periods claimed by all Class Members will also influence the amount each Class Member can collect.

No claim form is required to benefit from the Chase Bank settlement. Instead, payments will automatically be distributed based on Chase’s records. Class Members have until June 1, 2020 to object to or opt out of the settlement. The final approval hearing for the settlement is scheduled for June 30, 2020.

Who’s Eligible

Individuals who were employed by JPMorgan Chase Bank in California between Nov. 17, 2016 and Aug. 1, 2019 in any of the following positions: Teller, In-Store Teller, Senior Teller, Lead Teller, Lead Teller Operations Specialist (LTOS), LTOS Trainee, Associate Banker, Lead Associate Operations, Personal Banker, Private Client Banker, or Relationship Banker position.

Potential Award

Varies.

Payments will depend on the number of biweekly pay periods worked by the claimant and all of the Class Members. Claimants who worked more biweekly pay periods will receive a larger share of the settlement fund.

Proof of Purchase

N/A

Claim Form

There is no Claim Form for this settlement. Class members with further questions can click here for more information.

Opt-Out/Objection Deadline

6/1/2020

Case Name

Vega, et al. v. JPMorgan Chase Bank NA, Case No. BC698750, in the Los Angeles County Superior Court, California

Final Hearing

6/30/2020

Settlement Website

VegaSettlementKCC.com

Claims Administrator

c/o KCC Class Action Services LLC
PO Box 43208
Providence, RI 02940-3208
info@VegaSettlementKCC.com
866-576-7783

Class Counsel

Robert Drexler
Molly DeSario
Jonathan Lee
CAPSTONE LAW APC

Defense Counsel

Carrie A. Gonell
Alexander L. Grodan
MORGAN LEWIS & BOCKIUS LLP

Join a Free California Wage & Hour Class Action Lawsuit Investigation

If you were forced to work off the clock or without overtime pay within the past 3 years in California, you have rights – and you don’t have to take on the company alone.

GET A FREE CASE EVALUATION NOW

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