Last month, TD Bank NA agreed to pay $9.9 million as a class action settlement over allegations that the bank failed to pay overtime wages to assistant store managers. The lawsuit, filed in February 2013 by current and former TD Bank assistant store managers, alleged that they were improperly classified as exempt employees and denied overtime wages. Plaintiffs claimed that they performed various non-exempt work, such as bank teller duty, counting money in the bank’s vault and opening and closing branches. Soon after the case was filed, Plaintiffs received class certification. The settlement will provide relief to an estimated 2,600 eligible class members and covers employees who worked in New Jersey, New York and Pennsylvania.
While the job title of manager suggests that employees would not be entitled to overtime wages due to the executive exemption under federal and state laws, it is important to review the actual duties of such employees to determine whether they are properly classified as exempt. TD Bank now joins Capital One as another bank to have paid a substantial class action settlement to assistant store managers.