On March 29, 2013, the Honorable Kandis Westmore of the United States District Court for the Northern District of California denied Hershey’s request that it be granted leave to immediately appeal the District Court’s earlier ruling that the Hershey Retail Sales Representatives (“RSRs”) were entitled to overtime at 1.5 x their hourly rate for all hours worked over 40 per week and not the .5 hourly rate Hershey sought. As the numerous RSRs who are Plaintiffs in this action have experienced, Hershey failed to pay them any overtime even after the United States District Court found Hershey misclassified the RSRs and that they were entitled to overtime in February 2011, and a second suit was filed in October 2011.
Months after the filing of a second suit to hold Hershey accountable to fairly pay the RSRs, on February 1, 2012, Hershey started paying RSRs some overtime at time-and-a-half but refused to pay back overtime. In this case, Hershey claimed it only had to pay “half-time” and not the time-and-a-half to the RSRs it was actually paying since February 1, 2012. Hershey claimed that paying the claimants at a 1.5 rate amounted to a “windfall” to the RSRs.
On February 20, 2013, the District Court found 1.5 was the proper rate and denied Hershey’s request for an immediate appeal of the issue. The case remains on track for trial in October 7, 2013 where the RSRs will seek to hold Hershey accountable for all of the back overtime they are due under the law.
Here is a copy of Judge Westmore’s Order. If you would like more information on any of the Hershey litigation, please contact our office at 800-481-1615 or [email protected].