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Wage-And-Hour Class Settlement of $38 Million

In October, 2009, a federal judge in New York granted final approval of a $38 million class action settlement. (Dewone Westerfield, et al. v. Washington Mutual Bank, No. 06-cv-2817, E.D. N.Y.; 2009 U.S. Dist. Lexis 94544). The action accused Washington Mutual of various violations of federal and state labor laws for failing to appropriately compensate employees for overtime hours worked. The final agreement provides a class of nearly 5,000 former Washington Mutual employees a fund of $38 million. The plaintiffs claimed that the bank violated the Fair Labor Standard Acts (FLSA) as well as state overtime laws by failing to adequately pay the employees for hours worked beyond 40 hours per week.

Class members span across nine states and encompass all former employees who worked as loan consultants. The class periods range over a span of nine years dating back to June, 2000. Class members are to receive a portion of the fund based upon the duration of their employment as loan consultants at Washington Mutual. The 15 named plaintiffs will receive an incentive award of $10,000 each. Additionally, class counsel is to receive $11.4 million in attorney fees

The Simon Law Firm has handled and settled wage and hour claims involving issues similar to the one described above. If you believe that you were not paid for overtime you worked ,or that you are being misclassified (paid a salary when you really do hourly work), please feel free to contact us


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