Recently, a class-action lawsuit was filed against California-based public relations firm Rogers & Cowan, claiming the company was in violation of the state's labor laws.
The employee that filed the suit claims the company consistently required its employees to "volunteer" for free work, which violated labor regulations. In the filing, the plaintiff, Daniel Malakhov, stated the PR firm made he and other employees work after their shifts had ended "without any pay whatsoever."
The company refused these employees overtime payments and also did not provide appropriate meal and rest periods, which are required under the state's labor laws. Furthermore, the filings claim the company issued incorrect paystubs and wage statements. In addition, the filing states the employees were made to "work in a business environment where they were routinely and uniformly subjected to unfair business practices."
The case highlights the importance of businesses using legal and fair employment practices. Those that fail to do so could be subjected to expensive lawsuits, especially if multiple employees join the motion, making it a class-action filing. Thus, having proper processes and business insurance are essential for companies, lest unexpected repercussions arise.