Employment Law

Allied Group Overtime

Result: $8 million settlement
Year: 2004

Zuckman v. Allied Group Employee Wage & Tax Lawsuit

In September 2004, the Court approved a settlement with Allied Group and Nationwide Mutual Insurance Company of $8 million plus Allied/Nationwide’s share of payroll taxes on amounts treated as wages, providing plaintiffs a 100% recovery on their claims.

The plaintiffs, who were claims representatives of Allied / Nationwide, alleged that the company misclassified them as exempt employees and failed to pay them and other California claims representatives overtime wages for hours they worked in excess of eight hours per day or forty hours per week.

In approving the settlement, U.S. District Court Judge Susan Illston commended counsel for their “really good lawyering” and stated that they did “a splendid job on this” case.