UPS managers followed suit two years later.
Overtime/Lunch Breaks Is Dismissed
NEW YORK, Aug. 23, 2005 -- (Bloomberg/Edvard Pettersson) – UPS Supervisors Class Action Lawsuit in California Is Dismissed: United Parcel Service Inc., the world's largest package shipper, had a class action lawsuit brought by supervisors in California dismissed because as managers they don't qualify for overtime pay. U.S. District Judge Dean Pregerson granted UPS's motion for summary judgment. The company had submitted substantial evidence the supervisors ``spend the majority of their time performing exempt managerial tasks,'' the judge said in a ruling filed yesterday in federal court in Los Angeles. The lawsuit, representing a class of about 1,200 current and former supervisors, accused UPS of violating California labor law by not providing overtime pay and meal breaks. UPS showed the supervisors fall under an exemption the law makes for executive and administrative employees because, among other things, they are required to use discretion and independent judgment in ``matters of consequence,'' according to the ruling. John Furutani, an attorney for the plaintiffs with Furutani and Peters in Pasadena, California, didn't immediately return a call to his office after business hours. ``This is a very significant ruling by the court,'' said Peggy Gardner,'' a spokeswoman for Atlanta-based UPS in a telephone interview. ``It underscores our position that our supervisors are an essential part of the management team.''
The case is Michael Marlo v. United Parcel Service, 03-4336, U.S. District Court for the Central District of California. UPDATE 10/31/2005
The California Supervisor's class action lawsuit, summarily dismissed by the District Court for Central California in August 2005 apparently on a jurisdictional technicality, is currently being appealed to the 9th Circuit Court of Appeals. The District Court judge allegedly erred in deferring to federal labor regulations, instead of adhering to the California regulations under which the suit was originally filed. As this ruling would set new precedent in California case law, the lawsuit has received considerable attention and support from legal-rights advocates. The District Court's ruling is widely expected to be reversed on appeal.