Legal Alert - WARNING: Your Collective Bargaining Agreement May Not Protect You
November 13, 2014
by Brian Mills
In the past few years, thousands of companies have been targeted by opportunistic plaintiffs’ lawyers looking to make money from hyper-technical violations of state and federal wage and hour laws. Regardless of the sophistication of the company’s payroll or human resources department, misunderstanding, misapplication and/or mistakes of law can occur every day which can cause violations for unpaid wages, multiple penalties and attorneys’ fees. Just one disgruntled union member can then result in a class action case with hundreds or thousands of workers. Depending on the claims, the potential damages could go back four years and add up to hundreds of thousands or even millions of dollars. Many companies believe that their CBA protects them from these types of class action claims because they have already negotiated with their union as to how to resolve wage and hour disputes through a specific dispute resolution process. Most companies, however, are likely wrong in this belief and have limited or no protection because their CBAs are inadequate.
Read Bio
©2023 Snell & Wilmer L.L.P. All rights reserved. The purpose of this publication is to provide readers with information on current topics of general interest and nothing herein shall be construed to create, offer, or memorialize the existence of an attorney-client relationship. The content should not be considered legal advice or opinion, because it may not apply to the specific facts of a particular matter. As guidance in areas is constantly changing and evolving, you should consider checking for updated guidance, or consult with legal counsel, before making any decisions.
The material in this newsletter may not be reproduced, distributed, transmitted, cached or otherwise used, except with the written permission of Snell & Wilmer.