Media Mentions

Dec 23, 2005

George Preonas Quoted in Contra Costa Times

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An article ("Break time ruling stings Wal-Mart: Oakland jury orders retail giant to pay $172 million in general, punitive damages for labor law violations") in the December 23, 2005 Contra Costa Times notes that the verdict "for labor-law violations comes as the retailer faces numerous legal challenges to its workplace policies, as well as opposition to its plans to expand in California. A jury ordered Wal-Mart to pay $57 million in general damages and $115 million in punitive damages to about 116,000 current and former California employees. The retailer was found to have violated a 2001 state law that requires employers to give 30-minute, unpaid lunch breaks to employees who work at least six hours. The company settled a similar dispute in Colorado for $50 million. Wal-Mart said in statement it disagreed with the court's ruling and is likely to appeal. The company said it did not comply with the meal-break law in 2001 but has since changed its policies. Under the law, the company must pay workers a full hour's wages for every missed lunch. The verdict comes as the company is waging an intense public-relations campaign to counter critics aiming to stop the retailer's expansion and make it boost workers' salaries and benefits. The company argues that it pays competitive wages and that its low prices benefit shoppers in communities it enters. George Preonas with Seyfarth Shaw in Los Angeles, said the case may have little bearing on pending or future cases against Wal-Mart because each case has its own circumstances. "It means (Wal-Mart) has a lot of employees and they have deep pockets," he said. "They are a handy target for anyone who wants to file a class action."