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When working a few extra hours, you have a reasonable expectation to be compensated for that time. Unfortunately, that doesn’t always happen, which was the case for nearly 400 employees of Bank of America who sued the company alleging it failed to pay them overtime. Now, the company has agreed to settle the case, providing $36 million to the wronged employees.
The San Francisco Business Times reports that a lawyer representing the 365 current and former employees announced the settlement just days before the case was set to go to trial on Aug. 31.
“Employers take grave risks by cutting corners, and not fairly compensating their employees in tune with state and federal law,” the lawyer says.
The settlement, which must still be approved by the court, stems from an April 2013 lawsuit that alleged Bank of America and its subsidiary Landsafe Appraisal Services incorrectly applied “administrative” and “professional” exemptions to residential staff appraisers.
According to the suit, employees – primarily based in Northern California – regularly worked form 6 a.m. to 10 p.m. without overtime compensation from either company.
The case illustrated how companies often use in-house overtime rules that differ from federal guidelines, the Business Times reports.
A portion of the nationwide, class action lawsuit was previously settled for $5.8 million.
Bank of America to pay $36 million in California overtime infraction case [San Francisco Business Times]
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