Longs Drugs Stores Managers Class Action
Introduction
Lieff Cabraser Heimann & Bernstein, LLP, with co-counsel The Law Offices of Peter Rukin, represented store managers and assistant store managers in California in a class action lawsuit against Longs Drug Stores. Plaintiffs charged that Longs Drugs improperly classified store managers and assistant store managers as exempt from overtime wages in violation of California law. The action, entitled Goddard, et al. v. Longs Drug Stores Corporation, et al., was filed February 17, 2004, in California state court.
Settlement
Following a mediation, Longs agreed to settle the claims for a total of $11 million. This settlement included Goddard v. Longs Drug Stores, Case No. RG04141291 (Alameda Super. Ct.) and Robotnick v. Longs Drug Stores, Case No. BC312591 (Los Angeles Super. Ct.). Over 1,000 current and former Longs Store Managers and Assistant Managers were eligible for compensation under the settlement, and almost 98% of the class submitted claims. All payments under the settlement have been distributed.
Plaintiffs' Allegations
Plaintiffs had alleged that Longs Drugs classifies their store managers and assistant store managers as exempt from overtime wages, and that managers regularly work in excess of 8 hours per day and 40 hours per week without compensation for their overtime hours. In addition, plaintiffs charged that managers customarily are not afforded the opportunity to take rest breaks, and do not receive a 30-minute meal break within the first five hours of their shift as required by California law.
Plaintiffs alleged that these policies constituted violations of the California Labor Code because, despite their job titles, store managers and assistant store managers at Longs Drugs were not engaged primarily in management duties. Rather, plaintiffs charged that they spend the vast majority of their time performing non-managerial tasks, including work performed by the nonexempt employees whom the managers purportedly supervise. Nor did managers customarily and regularly exercise discretion and independent judgment in performing their work.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, is a 50-plus attorney law firm with offices in San Francisco, New York and Nashville. Our firm is committed to protecting the rights of employees nationwide to equitable treatment and fair wages. Lieff Cabraser employment attorneys have represented thousands of employees seeking to vindicate their rights in cases involving gender and race discrimination, overtime pay and wage and hour violations, and the mishandling of funds in pension and 401k plans.
We served as counsel in a class action suit against Abercrombie & Fitch, which led to a novel, precedent-setting settlement in 2005. The settlement required the retail clothing giant to pay $40 million to Latino, African-American, Asian-American and female applicants and employees who charged the company with discrimination. In addition, Abercrombie was required to promote diversity among its workforce and to prevent discrimination based on race or gender.
We served as class counsel for approximately 25,000 female employees of,
and applicants for employment with, Home Depot. In 1998, the Court approved
a settlement of the case in which Home Depot agreed to modify its hiring,
promotion and compensation practices, and paid $87.5 million, one of the highest
amounts ever paid in a gender discrimination case.
Lieff Cabraser has obtained lost wages and benefits for employees in overtime pay lawsuits, including the successful representation of employees of Denny's, Carrow's, the advertising firm TMP Worldwide, the California State Automobile Association, as well as several corporations in the computer industry including IBM and Computer Sciences Corporation.
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