PetSmart to pay $425,000 in settlement over employee voice-tracking headset

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PetSmart employee settlement overview:

• Who: PetSmart has agreed to settle a class action lawsuit alleging it violated Illinois law through its use of a voice tracking headset.
• Why: PetSmart denies the allegations but agreed to settle the class action lawsuit to resolve the litigation.
• Where: The PetSmart settlement documents were filed in Illinois federal court.

PetSmart LLC has reportedly reached a nearly $425,000 settlement over allegations it required some of its employees to wear a voice tracking headset that unlawfully collected their voice data in violation of Illinois law.

Plaintiff Steven Stegmann had filed the PetSmart employee class action lawsuit in January 2022, claiming that PetSmart violated the Illinois Biometric Information Privacy Act (BIPA) by using Honeywell’s Vocollect order picking system at one of its Illinois distribution centers.

Specifically, Stegmann said PetSmart violated BIPA by failing to properly notify employees that their biometric information was being collected, failing to properly notify them in writing about the specific purpose and length of time their voiceprints would be collected and stored, failing to provide a publicly available retention schedule and guidelines for when the biometric information would be destroyed, and by failing to obtain a written release from employees to collect their biometric information.

On June 8, Stegmann filed a motion urging an Illinois federal judge to preliminarily approve the PetSmart settlement, arguing that the proposed deal delivered a “strong result” for eligible class members.

PetSmart denies all liability and wrongdoing, according to the settlement documents.

PetSmart settlement offers approximately $900 in compensation to eligible class members

The $424,455 PetSmart settlement funds will compensate 472 current and former employees who worked in the retailer’s warehouse in Ottawa, Illinois and who used Honeywell’s Vocollect headset while working. Employees who are subject to an arbitration agreement with PetSmart are not eligible for compensation from the deal, the PetSmart settlement documents note.

The PetSmart settlement could provide compensation in the amount of about $900 per eligible class member. Payments would automatically be sent a payment unless they opt out of the settlement or file a claim form to elect paid time off instead of a cash payment.

Class members will have 120 days to cash their PetSmart settlement checks. 

In 2020, PetSmart was hit with a class action lawsuit alleging it intentionally misled consumers by selling hemp oil that was not approved by the U.S. Food and Drug Administration.

What do you think about the PetSmart settlement? Join the discussion in the comments!

Stegmann is represented by David Fish and Mara Baltabols of Fish Potter Bolaños PC.

The PetSmart employee class action lawsuit is Steven Stegmann v. PetSmart LLC, Case No. 1:22-cv-01179, in the U.S. District Court for the Northern District of Illinois, Eastern Division.

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