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$4.3 Million Settlement Tentatively Approved in First Group Class Action

Cincinnati, OH: A tentative $4.3 million settlement has been approved in the class action against First Group America. The national suit, brought by employees of sister companies First Student, which employees school bus drivers, and First Transit, which employs mass transit drivers, claimed the companies obtained criminal background checks on drivers and job applicants without the job applicants and employees written permission, which is a violation of federal law.

The settlement is reportedly the largest ever regarding employment-related Fair Credit Reporting Act claims. Ex- employees of First Transit or First Student, who were terminated as a result of the unauthorized background checks, and who decide to participate in the proposed settlement, could receive potential payment of between $2000 and $4000 per unauthorized background check.

The terms of the settlement also stipulate a payment of $750 for each worker who was terminated by First Transit or First Student based on a criminal background check report without first receiving a copy of that report.

For workers who continued to work for either of the companies but who were the subject of unauthorized background checks, a payment of between $150 and $300 may apply.

First Student reportedly transports some six million students on 60,000 school buses across North America.

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Last updated on Mar-18-11