When two parties agree to settle a legal dispute outside of court, it can be mutually beneficial for both parties, but they have to prove to the judge that both parties benefit equally from the agreement. One of the ways they do that is by including a complaint along with their proposed settlement agreement. The lawsuit cannot be considered settled until a court judge has issued both preliminary and final approval of the terms of the settlement agreement.
In a recent class action wage and hour lawsuit against UPS, in which 32,332 seasonal workers allege the shipping company denied them wages and rest breaks under California law, the judge presiding over the case has refused to grant preliminary approval of their settlement until the plaintiffs file an amended complaint.
The proposed class involves thousands of workers who worked for UPS for at least 20 days during the busy holiday season of November and December. The wage and hour lawsuit alleges UPS allowed its seasonal workers to take rest breaks only when they worked shifts of four hours or longer. For every day an employee misses a break, for any reason, she is entitled to one hour’s worth of wages, in addition to all wages, tips, bonuses, etc. earned that day. Continue reading