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February 3, 2012

A federal district court in California has issued a preliminary injunction barring a logistics management company and a staffing provider from implementing a plan to discharge more than 100 California warehouse workers who are covered by a lawsuit alleging they were denied minimum wages, overtime pay, and other rights guaranteed by the Fair Labor Standards Act and state law (Carrillo v. Schneider Logistics Inc., C.D. Cal., No. 11-cv-8557, 1/31/12).

Judge Christina A. Snyder of the U.S. District Court for the Central District of California found that Everado Carrillo and other plaintiffs likely can show that their filing of a federal court lawsuit and cooperation with California government officials had a causal relationship with an announcement by Premier Warehousing Ventures LLC that it
would terminate its contract to provide labor services to Schneider Logistics Inc. at a Wal-Mart distribution center in Mira Loma, Calif.

The court also found that Schneider had extensive authority over the warehouse workers and was a joint employer with Premier. Citing testimony that Schneider management threatened workers with retaliation for pursuing wage and hour claims, Snyder concluded that the plaintiffs are likely prevail on a claim that the planned discharges would violate the anti-retaliation provision of the FLSA.

Enjoining Schneider and Premier from proceeding with a Feb. 24 termination of the warehouse workers, the court also granted the workers conditional certification of their FLSA claims and authorized them to issue a notice advising potential claimants of the lawsuit.  02-03-2012

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