Walmart Inc. wants a higher court to determine if New York workers can sue for damages if they were paid less than weekly, an interpretation of state wage law that employer advocates say has exposed companies to billions of dollars in potential liability.
Walmart is defending against a class action complaint alleging it violated New York law by paying certain workers biweekly instead of at least once per week. The lawsuit could seek hundreds of millions of dollars in damages, depending on how many of the retailer’s estimated 35,000 New York employees fall under the weekly pay requirement.
Other large companies also hit with late payment lawsuits include Costco Wholesale Corp., Walgreen Co., Bed Bath & Beyond Inc., Quest Diagnostics, and Banana Republic.
US District Judge Thomas McAvoy, a Reagan appointee, is considering Walmart’s request to contest his decision rejecting the company’s motion to dismiss at the US Court of Appeals for the Second Circuit. If granted, Walmart said it would then petition the Second Circuit to ask New York’s highest court to rule on whether workers can sue for late-payment damages under state wage law.
Walmart’s quest for court review—backed by the US Chamber of Commerce, National Retail Federation, and other business groups—reflects the high stakes for employers who pay workers in New York on a biweekly basis.
“All told, the potential monetary...
We're hearing from people who say they're still owed thousands of dollars from CJF America. And for the first time in months, WRAL talked with the founder, Courtney Jordan, directly.