Wells Fargo Workers at Understaffed Branches Sue for Overtime Pay Violations

California overall has more robust labor laws than those at the federal level. Despite existing protections to ensure fair treatment in the workplace, workers may still experience wage theft. Wage and hour violations encompass a range of offenses, including failure to pay minimum wage, denial of overtime pay, unpaid off-the-clock work, and misclassification of employees as exempt from overtime requirements. 

One such wage-related case has recently come to light within the banking sector. A Wells Fargo employee filed a lawsuit in federal court in November 2023, alleging overtime pay violations. 

Sabrina Perez initiated a class action lawsuit, accusing Wells Fargo of misclassifying and denying overtime pay to hundreds of its U.S. branch workers. The lawsuit was filed in the U.S. District Court for the Northern District of California, as the banking giant is headquartered in San Francisco. Perez claimed that the nature of her position and job duties meant that she was not exempt from overtime pay. 

Perez’s complaint centers on the treatment of senior premier bankers within Wells Fargo’s organizational structure. Despite fulfilling key responsibilities and significantly contributing to the bank’s operations, these employees allegedly found themselves excluded from receiving overtime pay. Perez, who has been a Wells Fargo employee for 10 years, started working as a senior premier banker in July 2023.

The lawsuit contends that Wells Fargo consistently misclassified senior premier bankers as management-level workers exempt from overtime even though they did not have decision-making authority. The alleged misclassification thus deprived them of rightful pay for their hours worked beyond the standard 40-hour workweek.

Senior premier bankers occupy pivotal roles within Wells Fargo. They are tasked with handling banking transactions, providing customer service, overseeing the accounts of high-net-worth clients, approving large wire transfers and facilitating referrals to financial advisors.

Chronic understaffing issues at Wells Fargo branches worsened the situation. The financial services company was accused of forcing salaried workers to put in long hours to fulfill certain responsibilities of non-exempt jobs like personal bankers and tellers. Senior premier bankers like Perez had to work more than 40 hours without the proper overtime pay. Additionally, Wells Fargo failed to keep accurate records of the hours that senior premier bankers worked.

The class action could cover hundreds of current and former Wells Fargo senior premier bankers. The lawsuit seeks unspecified damages, penalties, and legal costs.

Employees can be classified as exempt or non-exempt. Non-exempt workers have the right to receive overtime pay, as well as minimum wage, rest breaks and meal breaks.

Under California law, non-exempt workers typically receive 1.5 times their regular rate of pay for all hours worked over eight in a workday or over 40 in a workweek. The employer is required to pay the employee double their regular rate of pay for all hours worked over 12 in a workday.

Bear in mind that there are some exemptions, which means that the law does not apply to certain types of employees. Common exemption classifications include management, professional, and administrative occupations. However, a worker may not necessarily be exempt even though an employer classifies them as exempt and pays them a salary. When employees are misclassified as exempt, they miss out on substantial amounts of unpaid wages.

There are specific criteria that employers must meet to classify workers as exempt. Determining whether a worker is exempt or non-exempt is not always clear-cut, as it involves considering various factors such as their job duties. If you are unsure about your eligibility for overtime pay, it is a good idea to consult an employment lawyer about your rights.

If you suspect your employer is not paying you the full wages you are owed, reach out to an experienced San Francisco employment lawyer. McCormack Law Firm was not involved with this class action against Wells Fargo, but we are dedicated to representing workers in wage theft cases and helping them recover their hard-earned pay. Our attorneys can assess your job duties and position to determine whether you have been misclassified and are owed overtime.

Contact us today to learn more through a free initial consultation. We are available to answer all your questions and explore your legal options.