A recently filed class action against SKIMS Retail LLC and related entities is the latest reminder that even high-profile brands are not immune from California wage-and-hour litigation. Filed in Los Angeles County Superior Court, the lawsuit alleges a wide range of violations of the California Labor Code, including unpaid overtime, missed meal and rest breaks, inaccurate wage statements, unreimbursed business expenses, and untimely final pay.
Allegations are only allegations, but the case highlights how quickly routine payroll and scheduling practices can evolve into costly class and representative actions, particularly for employers with large hourly workforces.
The allegations
Plaintiff David Knight, who worked for SKIMS as an hourly, non-exempt employee, alleges the company maintained policies and practices requiring employees to work through meal and rest periods without proper compensation. Mr. Knight also claims that employees were not fully compensated for all hours worked. He also contends that certain forms of compensation -- including shift differentials, commissions, bonuses, and other non-discretionary payments -- were improperly excluded from the regular rate of pay used to calculate overtime compensation.
In addition to the overtime and break-related claims, Mr. Knight alleges that payroll records were not properly maintained and that wage statements failed to accurately reflect total hours worked and applicable wages earned as required by California law.
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