Wal-Mart Pays Out $33.5 Million In Back Wages

Wal-Mart agreed to pay $33.5 million in back wages plus interest to settle a federal lawsuit.

The lawsuit accused the company of violating overtime laws involving some 86,680 workers.

Department officials stated that many of the violations with Wal-Mart involved them failing to pay time-and-a-half premium pay to managers in training, programmers in training, as well as other non-managerial employees under salary when they worked more than 40 hours a week.

They also accused Wal-Mart of violating the Fair Labor Standards Act which is the federal law which governs overtime by failing to properly include factors such as bonuses and geographical differences in calculating base wages to figure out time-and-a-half rates for workers.

Over 40 state lawsuits were filed against Wal-Mart accusing them of forcing employees to work off the clock and not pay them all the overtime which they had earned.

Most of those lawsuits are still pending with the average compensation for 87,000 employees to be around $375. 75 employees will receive more than $10,000 in back wages with the highest anyone will receive to top off at $39,775.