Laundry Co. Pays $3M To Settle OT Class Action In Calif.

Law360, New York (September 26, 2014, 5:47 PM EDT) -- Laundry company Angelica Textile Services Inc. has agreed to pay $3 million to resolve claims it failed to fully pay overtime to hourly employees, according to a class action settlement approved Thursday by a federal judge in California.

U.S. Magistrate Judge Paul S. Grewal signed off on a settlement resolving allegations that Angelica had violated the Fair Labor Standards Act. The suit alleged that Angelica used an uneven rounding method for calculating wages that led some hourly employees to be short-changed on overtime.

Under the terms of the settlement, Angelica agreed to pay up to $3 million, with about $2.2 million...

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