Oracle Unpaid Overtime Lawsuit Settled for $35M

What are you looking for?

Los Angeles, CA: An unpaid overtime class action lawsuit brought against Oracle has reached preliminary settlement with the superior court in Alameda County, California last week granting preliminary approval to a $35 million agreement. A final hearing is set for March and will allow any workers to raise objections or go after individual claims against the software giant.

The plaintiff class includes some 1,725 Oracle employees who alleged that they were not paid overtime and meal allowances. The suit was filed by quality software assurance engineers, customer support engineers and project managers who worked for Oracle and Peoplesoft in Redwood City and Pleasanton from 2003 to 2006.

According to California County law, staff working more than eight hours a day or 40 hours in a week are eligible for time-and-a-half. However, Oracle incorrectly classified the three groups of workers as administrative roles, making them exempt from the payments.

Oracle did not change its overtime policy for customer support engineers and project managers until 2007, though quality assurance bods still do not qualify for overtime and the settlement for them extends to November 2010.