June 7, 2018

How businesses rip off their employees

Dirt Diggers Digest - Denial of overtime pay through misclassification and other forms of wage theft are pervasive in American big business. After digging through court records for much of the past year, I found more than 1,200 successful wage and hour lawsuits against hundreds of the country’s largest employers. These collective action suits have yielded some $8.8 billion in settlements and verdicts in the period since 2000. The same group of corporations have paid around $400 million in fines to the U.S. Department of Labor.

Among the dozen most penalized corporations, Walmart, with $1.4 billion in total settlements and fines, is the only retailer. Second is FedEx with $502 million. Half of the top dozen are banks and insurance companies, including Bank of America ($381 million); Wells Fargo ($205 million); JPMorgan Chase ($160 million); and State Farm Insurance ($140 million). The top 25 also include prominent companies in sectors not typically associated with wage theft, including telecommunications (AT&T); information technology (Microsoft and Oracle); pharmaceuticals (Novartis); and investment services (Morgan Stanley and UBS).

1 comment:

Richard Carlson said...

Don't you just love the stench of capitalism in the morning.