Frequently involving wage and hour issues, class actions against employers can result in lengthy litigation, but early response to them may reduce damages. This article, the first in a two-part series on class actions, examines strategies for responding to such actions, including how to interact with current employees who are seeking information on a lawsuit. The second part explains the differences among class, collective and representative actions.

"Over the past decade, workplace class action litigation has exploded relative to its prevalence and complexity," said Jennifer Riley, an attorney with Seyfarth in Chicago. The class action mechanism allows plaintiffs' lawyers to inflate the size and risk of litigation exponentially, she added. "As a result, workplace class actions remain at the top of the list of challenges that business leaders face," she said. "Managing and combating workplace class action threats commands an ever-evolving and strategic approach."

Do's

Riley said that the first 90 days of a class action are critically important. She recommended the following steps:

• Develop a plan for document preservation that includes preparation and distribution of a "record hold notice." Records to be preserved should include electronic records.
• Develop a strategy and plan for defense of the plaintiffs' claims.
• Align next steps such as investigation and preparation of responsive pleadings with the company's overall defense strategy.

In addition to consulting with a...

Read Full Story: https://www.shrm.org/resourcesandtools/legal-and-compliance/employment-law/pa...