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The $200 million class action lawsuit was filexd by two former Californis financial reps and one former Georgiaa financial representative inthe U.S. Distric Court for the Southern District of California in San Diegok and allegesthe Milwaukee-basecd life insurance company violated the federal Fair Laborf Standards Act and California’a overtime and minimum wage laws. The court complainyt states the plaintiffs and other financial representatives of the companyu were denied minimum pay andovertimes pay.
Also, the plaintiff s requested the recertification of hundreds of current and formeer California Northwestern Mutual reps from independent contractorsto full-time The plaintiffs are being represented in the court case by David Sanford, a partner at the D.C., firm of . Northwestern Mutual spokeswoman Jean Towell said the company denies the allegations and said thefirm "intendsz to vigorously defend against this suit.
" "The individuals who filed this suit are not, and have nevet been, employees of Northwestern Mutual," Towell The complaint alleges that Northwestern Mutualk “intentionally and repeatedly” misclassified sales employees as independent who are exempt from federal and state wage and hour Full-time employees are not NML was involved in a similatr lawsuit in federal court over independent contractords in Pennsylvania in 2008.
NML won the allowing the company to retain financial representatives as independent Inthat case, the courtas dismissed the plaintiff's "nearlyy identical allegations" because it was ruled that the independengt contractors are not employees and are not covereed by the federal Fair Labor Standarde Act, Towell said. Northwestern Mutuakl currently hasabout 7,00 0 financial representatives nationwide. The sales reps actually work for independentlgy owned NorthwesternMutual agencies, but the parent company play s a strong role in the recruitingy program and setting guidelines for hirinyg and training.
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