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January 05, 2005

Undocumented Workers Approved to Collectively Sue Wal-Wart

Wal-Mart is being targetted in court by janitorial workers who were arrested during immigration raids of Wal-Mart stores in 2003. The workers allege they were illegally abused by Wal-Mart with the company using their illegal status to exploit them.

A judge approved moving forward with a collective action by the workers and allowed their counsel to get information to expand the group of workers in the lawsuit (see full BNA Daily Labor Report below):

In certifying the collective action, the court said Wal-Mart was required to produce the names, addresses, and nationalities of all former and current janitors who have performed work under contract with Wal-Mart since January 2000, as well as copies of the agreements with contractors.

BNA DAILY LABOR REPORT
Wednesday, January 5, 2005 Page A-1

Collective Action OK'd for Illegal Workers
Arrested in 2003 Wal-Mart Immigration Raid

A collective action on behalf of undocumented workers performing cleaning services who were arrested in a 2003 immigration raid of Wal-Mart stores was approved by a federal judge in New York Dec. 29 (Zavala v. Wal-Mart Stores, D.N.J., No. 03-5309, 12/29/04).
Approving the conditional certification of an overtime and minimum wage claim brought by 17 named plaintiffs, the U.S. District Court for the District of New Jersey said the plaintiffs could send a notice to thousands of janitors who worked for Wal-Mart contractors performing cleaning services throughout the United States. Judge Joseph A. Greenway Jr. limited the collective action to Wal-Mart employees and refused to expand the class to the company's Sam's Club operations.

The ruling on the FLSA claims was the first in what is expected to be a series of rulings resulting from a November 2003 lawsuit filed on behalf of undocumented workers who performed cleaning services for Wal-Mart and who were arrested in the Homeland Security Department's Bureau of Immigration and Customs Enforcement raids of 21 of the chain's stores. The workers also have filed claims alleging violations of the Racketeer Influenced and Corrupt Organizations Act, the Civil Rights Act of 1871 (42 U.S.C. ยง 1985(3)), and New Jersey's wage and hour and anti-discrimination laws.

The workers named in the suit--who are residents of Mexico, the Czech Republic, Poland, and Slovakia--charged that they worked at least 60 hours per week without overtime, workers' compensation coverage or health insurance benefits, sick leave, or disability benefits. The workers claimed they earned between $350 and $500 a week.

Some 250 undocumented workers were arrested Oct. 23 as a result of the government raids of Wal-Mart stores (207 DLR A-6, 10/27/03). Wal-Mart later acknowledged receiving a "target letter" from the U.S. Attorney's Office for the Middle District of Pennsylvania indicating the company is being investigated for its role in alleged immigration violations by third-party cleaning contractors (214 DLR A-13, 11/5/03). Wal-Mart has said it is cooperating fully with the Bureau of Immigration and Customs Enforcement and has no reason to suspect the investigation will result in the indictment of company officials.

The workers allege a fraudulent scheme by Wal-Mart and its maintenance contractors across the United States, including stores in New Jersey, Connecticut, Florida, Georgia, Michigan, Mississippi, and Texas, to use undocumented workers to provide janitorial and cleaning services. The original complaint alleged workers were "locked-in" to stores overnight to perform cleaning services.

In certifying the collective action, the court said Wal-Mart was required to produce the names, addresses, and nationalities of all former and current janitors who have performed work under contract with Wal-Mart since January 2000, as well as copies of the agreements with contractors.

James L. Linsey of Cohen, Weiss & Simon in New York represented the workers. David P. Murray of Wilkie Farr & Gallagher in Washington, D.C., represented Wal-Mart.

Posted by Nathan at January 5, 2005 07:28 PM