Wal-Mart ordered to pay workers $172M US over lunch lawsuit
An Oakland, Calif., jury has ordered Wal-Mart to pay $172 million US to thousands of employees who claimed they were illegally denied their lunch breaks.
In a decision reached Thursday after the three days of deliberation, the jury said the world's biggest retailer must pay the compensation to roughly 116,000 current and former Wal-Mart and Sam's Club workers in California.
The jury found that the company violated a 2001 California law that states employers must give a 30-minute, unpaid lunch break to employees who work at least six hours.
The $172 million US decision is reported to be the biggest class-action judgment against Wal-Mart. The Bentonville, Ark.-based company was ordered to pay $57 million US in general damages and $115 million US in punitive damages.
The company said it plans to appeal the ruling.
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"This case involved a meal period statute that is unique to California," Wal-Mart said in a statement. "It has no bearing on any other state."
Fred Furth, the attorney who brought the case on behalf of the employees, said the decision "held Wal-Mart to account."
During the case, Wal-Mart said the workers did not take all of their meal periods and did not demand penalty wages on a timely basis.
Wal-Mart is reported to be facing about 40 workplace lawsuits across the U.S., including the country's biggest discrimination case filed in San Francisco on behalf of about 1.6 million women. That suit contends that the company paid men more than women.
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