Facts
Plaintiffs Porfirio Rivera and Andrews Haro worked for defendant Talamo Food Service, Inc., as non-exempt employees with various duties such as truck driving, cheese cleaning and other various tasks within the production, receiving, and the warehouse departments. Plaintiffs filed a class action lawsuit against defendant for wage and hour violations.
Contentions
PLAINTIFFS’ CONTENTIONS: Plaintiffs asserted claims that defendant failed to pay plaintiff overtime wages in violation of Labor Code Section 510 and failed compensate plaintiffs minimum wages in violation of Labor Code Section 1197.
Plaintiffs also contended that defendant failed to provide meal breaks, rest breaks, or compensation in lieu thereof in violation of Labor Code Section 226.7. In addition, plaintiffs alleged that defendant violated Labor Code Section 226(a) by failing to provide plaintiff accurate wage statements. Plaintiffs also alleged that defendant failed to pay plaintiffs their wages due upon their termination.
Defendant’s Contentions:
Defendant denied thencontentions. Defendant contended its policies and practices were lawful and there was no evidence of a common scheme to harm workers. Defendant was prepared to litigate the case, but agreed to a settlement based on a rational cost-benefit analysis.
Result:
The court granted preliminary approval of the class action settlement agreement for a class of approximately 200 persons. According to the terms of the agreement, Defendant will pay a non-reversionary total amount of $450,000. Out of the settlement amount, plaintiff’s attorney will be awarded $150,000 for attorney fees, costs up to $25,000, and a service award of $7,500 for each class representative, settlement administration costs up to $6,750 and a PAGA allocation award of $10,000. Out of the PAGA allocation award, $7,500 will be paid to the Labor Workforce Development Agency.