Will Walmart Settle their Unpaid Overtime Suit with California Workers?

In recent news, a California judge considered a revamped $2.25 million unpaid overtime settlement.

The Case: Juan Garcia v. Wal-Mart Stores, Inc., et al.

The Court: Superior Court of California, County of San Bernardino

The Case No.: 5:16-cv-01645-BRO-RAO

The Plaintiff: Juan Garcia v. Wal-Mart Stores, Inc., et al.

The plaintiff in the case, Juan Garcia, initially filed a proposed class action complaint against Wal-Mart Stores in May 2016, alleging that the company did not provide a second meal break for shifts over 10 hours as required by labor law. Garcia also claimed he did not voluntarily waive his missed meal breaks and that Walmart did not obtain Garcia’s signature on any lawful meal break waivers. According to Garcia, a documented policy denied Walmart Logistics employees their second meal period.

The Defendant: Juan Garcia v. Wal-Mart Stores, Inc., et al.

The defendant in the case, Walmart Stores, holds the title of the largest retailer globally, with a staggering valuation of $218 billion. This retail giant operates 3,250 stores across the U.S. and employs approximately 1 million individuals. Currently, in 2024, about 39 class-action lawsuits are active against Walmart in 30 states, ranging from California to New York. These lawsuits collectively involve several hundred thousand employees pursuing claims for tens of millions of dollars in unpaid wages. Previously, Walmart resolved two comparable cases regarding overtime payments in Colorado and New Mexico.

The Case: Juan Garcia v. Wal-Mart Stores, Inc., et al.

In the motion for preliminary approval, over 1700 Walmart workers hoped for a resolution. The first motion to approve the settlement in September was denied, with the court pointing out deficiencies. The first allocation method did not fairly compensate the employees. The skewed compensation structure favored part-timers because it relied on weeks worked instead of hours worked. In the recent motion for preliminary approval, Walmart workers said they corrected the allocation method to address the deficiency.

If you have questions about how to file an overtime lawsuit, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced California employment law attorneys are ready to assist you in various law firm offices in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.