This class action lawsuit claims that Petco stores in Massachusetts failed to pay Assistant Store Managers (ASMs) for all hours worked, failed to pay ASMs overtime on a timely basis, and failed to pay ASMs the legally required amount of overtime compensation required by law for all hours worked over 40 in a workweek.
One plaintiff in this lawsuit was the ASM at Petco’s store in North Andover, Massachusetts from May 2009 to January 2015. While employed as an ASM, the plaintiff regularly worked in excess of 40 hours per workweek, without receiving overtime compensation as required by state law. Other ASMs have similar stories: no overtime pay after logging a large amount of overtime hours.
Petco sets a labor budget for all of its store locations. Allegedly, this quantity was not enough for many of the stores in Massachusetts, in particular. In order to carry on, the company misclassified ASMs as exempt from the overtime requirements of Massachusetts law. This exemption applies to many executives, professionals, and seasonal workers. The work performed for Petco by the ASMs required little skill and no capital investment, nor did it include managerial responsibilities or the exercise of meaningful independent judgement and discretion. The ASMs job duties, for the most part, included working the cash registers, stocking shelves, cleaning and straightening the store, assisting customers, organizing the store according to detailed corporate directives called planograms, unpacking merchandise, unloading trucks, and caring for pets. The ASMs’ primary job duties do include hiring, firing, disciplining, or directing the work of other employees.
Petco did not provide sufficient resources in the labor budgets for their employees to get adequately paid. Instead of correcting this problem, they chose to underpay their Assistant Store Managers for their manual labor.
Based on the facts of the case, the plaintiffs in this lawsuit claim the following: