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Settlements for class actions in the workplace will make their mark in 2021



Contrary to expectations, class action lawsuits reached a record high last year, according to a law firm report. , $ 32 billion 2019, according to Annual Workplace Class Action Litigation Report: 2022 Edition published by Chicago-based Seyfarth Shaw LLP.

The report said that many had mistakenly anticipated that the pandemic would reduce the size and pace of settlements.

Among other trends, wage and hourly disputes remained a "sweet spot" for plaintiffs' class actions, according to the report. Of the 298 payroll and certification decisions under the Fair Labor Standards Act, for example, plaintiffs won 226 of 279 conditional certification decisions, or about 81%.

The report also said that the change of administration "was translated directly into reversals in administrative agendas". ", As the Biden administration's regulators took steps to eliminate the Trump administration's pro-business rules.

In particular, the Department of Labor withdrew or repealed Trump rules, including rules for joint employers and independent contractors issued during the Trump administration. said.

The pandemic also had a significant impact. The class action lawsuit brought by the state, workers 'advocates, unions and employers' groups "broke out over regulatory measures and employer policies," it said.

Disputes that challenged the authority's regulatory framework on the grounds that it exceeded the executive's power to regulate terms of employment had mixed results, with courts granting about 41

% of requests for temporary restraining orders or preliminary injunctions to date, the report said.

speed, "the report also said, using the 2018 U.S. Supreme Court ruling in Epic Systems Corp. v. Lewis, who affirmed that the Federal Arbitration Act requires courts to uphold arbitration agreements under their terms.


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