Overtime Claims Result in $8.3M Deal for JPMorgan Workers

by Norman B. Blumenthal on February 5, 2018

blumenthal nordrehaug & bhowmik deblouw, southern california employment law, southern california employment law attorneys, overtime, overtime claim, overtime settlement, overtime class action, overtime lawsuit, california overtime lawsuitThe well-known JPMorgan & Chase Co. financial institution is expected to cough up $8.3 million in order to end a proposed class action that had assistant bank managers alleging that they were misclassified as overtime-exempt. According to the deal proposed earlier in January 2018, the agreed upon amount would cover approximately $2.8 million in attorneys’ fees in addition to a payout pool of approximately $5.3 million for the class member group of about 2,000 accusing the institution of making them do the work of tellers while denying them the benefit of overtime.

The case was stayed in late 2016 and the parties turned to mediation to attempt to resolve the issues. After months of negotiations, they arrived at a settlement agreement.

The plaintiffs submitted a bid for early approval of the deal to the court indicating that they felt it was fair, reasonable, and adequate. They also noted that they felt the standards for certification of the proposed class were satisfied in the context of the proposed settlement.

The $8.3M deal is a part of a larger $25M deal agreed to by JPMorgan with other assistant bank managers with similar allegations out of New. York and California. The full amount covers all three cases with all the parties involved agreeing to the amount in May. And then negotiating the details of each case’s settlement terms separately.

JPMorgan’s settlement with New York cases will be resolved with a $16.7 million payment. This will end similar suits including allegations of the Fair Labor Standards Act and the New York, Connecticut and Illinois state labor laws. The class covered includes approximately 5,400 workers.

From Chase’s perspective, the New York settlement deal would provide an average payout of $3,000 to each class member for unpaid overtime. They feel this is a good deal as most assistant branch managers do not work more than 40 hours per week.

The California case’s settlement would cover the class. To be eligible to be part of the class, workers must have been employed by Chase in an exempt assistant branch manager position in California sometime between February 25, 2011 and whenever the settlement is given preliminary approval.

If you have an issue with the overtime calculations or if you are classified as exempt and feel it is in violation of labor law, please get in touch with one of the experienced employment law attorneys at Blumenthal Nordrehaug Bhowmik De Blouw LLP.

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