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BofA Sued for Violation of Wage and Hour Laws

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By Jason Beahm on June 08, 2010 12:45 PM

Bank of America is being sued by current and former employees, who allege that the bank withheld overtime and regular earned wages. The lawsuit was filed in federal court last Friday in Kansas City, Kansas.

According to George Hanson, attorney for the plaintiffs, the lawsuit seeks class-action status for as many as 180,000 workers, after consolidating 12 lawsuits filed by employees in other states including California, Florida and Texas. The bank has over 280,000 employees worldwide. The potential recovery for the plaintiffs is in the hundreds of millions of dollars, according to Hanson.

The suit alleges that Bank of America requires employees to work overtime without receiving overtime pay, fails to pay straight time, requires employees to work during unpaid breaks, fails to provide meal and rest breaks, and fails to timely pay laid off employees earned wages and vacation time.

The lawsuit accuses Bank of America of violating the federal Fair Labor Standards Act and/or state labor laws. The complaint seeks to stop the alleged illegal conduct, as well as to receive compensatory damages, punitive damages and additional available remedies.

According to the complaint, "Bank of America enjoys millions of dollars in ill-gained profits at the expense of its hourly employees."

Bank of America spokeswoman Shirley Norton said that the bank plans to defend the lawsuit and stated that the bank has policies and training that ensure compliance with federal and state labor laws.

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