The Supreme Court refused to hear an appeal by Walmart in a case involving a $187 million class-action judgment against the retailer over its treatment of workers in Pennsylvania.
Walmart had argued that the formula used to determine the penalty was unfair.
The justices denied the petition Monday, meaning the lower court’s ruling will stand and Walmart will have to pay the penalty.
“We are disappointed the Supreme Court decided not to review our case. While we continue to believe these claims should not be bundled together in a class-action lawsuit, we respect the court’s decision. We will now determine how we move forward in the trial court,” said Walmart spokesman Randy Hargrove.
“Most of these claims are over 10 years old. Walmart has had strong policies in place to make sure all associates receive their appropriate pay and break periods. We have taken additional steps over the last decade, including enhancing our timekeeping systems and additional training, to make sure all our associates understand the importance of those policies and comply with them.”
The case involved 2011 and 2012 decisions by Pennsylvania state courts, including the state supreme court, that upheld the judgment in a lawsuit involving 187,000 Walmart employees who worked at the world’s largest retailer between 1998-2006 and said they were denied paid rest breaks and ordered to work “off the clock.”
Only six of the employees actually testified in the case. The 187,000 figure was based on an estimate by the plaintiffs’ lawyers, who argued the victims’ experiences could be applied to all company workers over an eight-year period.
Walmart argued the formula was unfair and that creating such a large class-action group denied the company its due-process rights. An appeals court disagreed, ruling that the “unique facts [of the case] and the liberal construction of Pennsylvania’s class-action rules” justified the settlement. The Supreme Court’s decision Monday means that ruling stands.
