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Amazon Contractor Pays Large Settlement

As your preferred material handling equipment supplier, DJ Products recognizes the importance of providing warehouse employees with good working conditions. Cities and states have specific laws to ensure that workers are treated fairly and honestly.

Unfortunately, such was not the case with a SoCal-based logistics contractor and a group of staffing companies who were faced with allegations of labor law violations. What led to their recent proposed settlement totaling nearly $2 million?

Dodging Regulations to Cut Expenses?

In 2014, a group of workers at a Los Angeles-owned storage facility filed a class action lawsuit against California Cartage Co., which includes Amazon among its clients, as well as several staffing firms. Allegations included:

– Violations of the state’s minimum wage law and L.A.’s “living wage” statute

– Insufficient break periods during times of exceedingly hot weather

– Retaliatory measures against employees who raised objections

While Amazon was not a party to this action, the company has had to answer several lawsuits alleging violations ranging from inadequate safety precautions to non-payment of overtime wages.

Seeking Justice for Wronged Workers

The California Cartage case involved a question of whether workers who filed suit were covered by a policy that applies the “living wage” statute to companies leasing municipal property. In 2016, a judge ruled that the defendant companies were exempt from the policy.

The judge did allow the retaliation suit to move forward, and the defendants were found to have conducted illegal interrogations and threatened employees who took action. A final approval hearing for the $1.9 million settlement is scheduled for October 25.

Eco-Friendly Tugs, Movers and Pushers from DJ Products

Are you looking for a material handling equipment supplier that can provide solutions to your specific productivity and safety needs? Call 800.686.2651 for more information.