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Duane Reade Has Agreed to Pay $13.5 Million to Settle Class Action Lawsuit

Jan 24, 2017

Duane Reade Inc., a convenience store and pharmacy chain, has agreed to pay $13.5 million to settle a class action lawsuit that alleges they failed to pay their assistant store managers overtime wages. The agreement was filed on Friday, January 20 in New York federal court.

This legal battle between the subsidiary of Walgreens Co. and its workers has been raging on since January of 2011 is not the first of its kind. Back in 2009, the assistant store managers filed a lawsuit against Duane Reade for improperly classifying them as exempt from overtime pay after working for more than 50 hours per week. This second lawsuit was filed after the company allegedly failed to change their scheduling practices after settling the 2009 lawsuit.

“[B]ecause plaintiffs asserted that Duane Reade continued its practice of requiring ASMs to perform primarily nonexempt work while working over 50 hours per week, plaintiffs filed this action in January 2011, alleging that no material structural changes were made to the ASM position and that ASMs continued to be misclassified as exempt from overtime,” attorneys for the workers said in the settlement motion.

The approximately 1,075 store managers who worked for the company between January 8 of 2009 and November 3 of 2016 and either filed forms to join the action or had not excluded themselves will be compensated from that $13.5 million fund.

At Bailey Peavy Bailey Cowan Heckaman, our Houston overtime attorneys have dedicated their careers to providing experienced and passionate legal assistance to those in need. If you are in need of an attorney, tell us more about your case by filling out our online form to request a free case evaluation, or by calling us at (888) 367-7160 to speak with a member of our firm today.

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