Pending a judge’s approval, a lawsuit filed in 2011 by six workers against Schneider Logistics will soon be settled.
Bloomberg News reports that the six warehouse workers from Inland Empire, California were shorted on pay for years. The workers reportedly loaded and unloaded Walmart freight for Schneider.
Schneider has agreed to pay $21 million to settle the suit. The money is for unpaid wages, interest and penalties for wage and hour violations.
The workers allege that they were paid on a “piece rate” plan and were not compensated properly for the work they did. The Los Angeles Times reported that one employee allegedly took home $100-$150 per week.
According to the Huffington Post, one of the claimants, David Acosta, said,”This settlement vindicates us… When we raised these issues, we knew it would be a fight. Schneider tried to fire us. Walmart tried to deny responsibility. But we knew that the law was on our side.”
While the settlement may come out of Schneider’s pocket, Walmart isn’t off the hook. The worker’s attorney, Michael Rubin, told the Huffington Post,“Walmart’s name does not appear on any of these workers’ paychecks, and the Walmart logo does not appear on the t-shirts they’re required to wear, but it has become increasingly clear that the ultimate liability for these workplace violations rests squarely on the shoulders of Walmart.”
As many as 1,800 who were employed at three Schneider Logistics distribution centers in Mira Loma from 2011-2013 may receive a portion of the settlement.
At this time, it is unclear whether or not Walmart will contribute financially to the settlement, however, the JD Journal reports that Walmart may face a trial “to determine whether they are liable as joint employers for workplace violations.”