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Wal-Mart Agrees Tentative $40 Million Settlement in Wage and Hour Class Action

Wal-Mart has agreed to what is being heralded as the largest settlement of a wages class action in Massachusetts history, a record $40 million. If approved, the settlement will end the class action, filed in 2001.

The lawsuit alleges that Wal-Mart workers were denied meal and rest breaks and refused overtime pay, and had their time cards manipulated in such a way as to enable Wal-Mart to get out of paying overtime.

The terms of the settlement reportedly affect any person who worked for the retail giant from August 1995 to the settlement date. Qualified plaintiffs will receive a payment of between $400 and $2,500 per person, depending on how many years they worked for the company. There could be as many as 87,000 current and former employees who are eligible.

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Last updated on Dec-2-09