By Chelsey Dulaney
Wal-Mart Stores Inc. said Tuesday that it is considering an
appeal of Monday's Pennsylvania Supreme Court decision to uphold a
settlement in class-action suit over worker pay.
The Pennsylvania court upheld a 2007 judgment that required
Wal-Mart to pay $188 million in back pay and fees for failing to
pay employees for all hours worked and denying them breaks.
Wal-Mart had appealed the decision, first to the Pennsylvania
Superior Court of Appeals and later to the state's supreme
court.
A Wal-Mart spokeswoman said the company disagrees with Monday's
decision, arguing the claims shouldn't be bundled together into a
class action lawsuit.
Meanwhile, Michael Donovan, an attorney representing the
plaintiffs, said an appeal would be "just another delaying tactic
to prevent Wal-Mart from paying its employees the money that
Wal-Mart stole from them."
As a result of the Pennsylvania decision, Wal-Mart said it
expects to take a six-cent hit to its per-share earnings for the
quarter ending in January. Wal-Mart in November forecast per-share
earnings of $1.46 to $1.56 for the quarter.
Wal-Mart has paid out millions over the years to settle legal
battles over its treatment of workers.
In 2012, Wal-Mart agreed to pay employees $4.8 million in back
wages and damages, as well as $464,000 in civil penalties, after
the U.S. Department of Labor found the company failed to pay
overtime to more than 4,500 workers.
That followed a $352 million settlement the Bentonville,
Ark.-company paid in 2008 to settle 63 suits across the country
over allegations it didn't provide workers with proper rest and
meal breaks.
Write to Chelsey Dulaney at Chelsey.Dulaney@wsj.com
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