New Wage and Hour Settlement: Trader Joe’s Reaches $12.47M Agreement
Trader Joe’s has agreed to pay $12.47 million to settle a proposed class action lawsuit alleging violations of California’s wage and hour laws.
According to the complaint, Trader Joe’s:
- Rounded time punches, resulting in employees being underpaid
- Excluded “Thank You” pay from overtime calculations
- Failed to provide required meal and rest breaks
- Failed to pay required overtime, minimum wages and sick pay
- Issued inaccurate wage statements
- Did not reimburse employees for business expenses, and
- Did not pay wages on time during employment and at termination.
Trader Joe’s denies wrongdoing and said it agreed to settle to avoid continued litigation.
The court is scheduled to consider final approval of the settlement on April 22, 2027.
Takeaways for wage and hour compliance:
- Review timekeeping and rounding rules to ensure employees are paid for all time worked
- Verify that overtime calculations include all required forms of compensation, and
- Regularly audit wage statements, expense reimbursements and final-pay procedures.
More info: Bartlett v. Trader Joe’s Settlement Agreement
- Share on
Free Training & Resources
White Papers
Provided by UJET
Further Reading
IRS gave an update on several initiatives that have been in the works longer than expected. The Service’s latest goals are contained i...
The U.S. Supreme Court’s 2024-25 term opened this week – and several employment issues are already on the docket. Here are six...
With tax year 2024 Forms W-2 out the door, it’s time to turn your attention toward the changes IRS has made for TY 2025 forms. The IRS...
It’s not too late to get tax relief in the form of the Employee Retention Credit that was created as part of the CARES Act in 2020, t...
Two jurisdictions face potential 2026 Federal Unemployment Tax Act (FUTA) credit reductions. If you operate in either one, your FUTA tax ra...
A missed federal payroll tax deposit can trigger hefty penalties — they just went up on July 1. But a new IRS program could provid...
