Rite Aid to Pay Millions in Wage and Hour Dispute
Friday, June 22, 2012
Rite Aid Corporation recently settled a $20.9 million wage and hour lawsuit. The dispute arose when store managers and assistant store managers sought overtime compensation for working in excess of 40 hours a week. The plaintiffs claim that Rite Aid misclassified its managers and assistant managers as exempt employees and argued that the Fair Labor Standards act and certain state laws required Rite Aid to provide overtime compensation to these employees. As part of the settlement, Rite Aid maintains that it has complied with the applicable state and federal laws and has properly classified its salaried employees, yet over 6,000 current and former associates are covered in the settlement, providing damages as far back as 2002.