McLeod Health resolves overtime dispute in $600K settlement

McLeod Health, based in Florence, S.C., has agreed to a $600,000 settlement in a lawsuit brought by employees who claimed that the network deducted pay for meal breaks they were unable to take due to a heavy workload.

The plaintiffs filed a lawsuit against the hospital alleging that its policy of automatically deducting meal periods led to a violation of overtime pay requirements under the Fair Labor Standards Act and other wage regulations outlined in the South Carolina Payment of Wages Act, according to a Nov. 17 lawsuit obtained by Becker's.

The parties engaged in mediation with an experienced wage and hour mediator on July 18. Following successful mediation, they reached a comprehensive settlement agreement to resolve the claims. 

Per the terms outlined in the settlement agreement, McLeod Health is obligated to make a total settlement payment of $600,000. In return for the amount the plaintiffs are owed based on their share of the settlement, each plaintiff agrees not to sue the hospital for certain wage-related claims under the Fair Labor Standards Act and state wage and hour laws. 

This agreement is part of the deal in exchange for the settlement payment outlined in the settlement agreement.

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