Suit Accuses Money Store of Wage Violations
Five current and former employees of Money Store filed a lawsuit alleging that the Sacramento-based lending company violated California law on overtime pay. The suit accuses the company of failing to pay loan officers and assistant branch managers overtime for workweeks that ran from 55 to 60 hours as the employees worked to meet monthly sales quotas. The suit, filed in Sacramento County Superior Court, seeks unspecified damages and a court order compelling Money Store to begin paying overtime wages. The suit also seeks class-action status. David Borgen, an attorney representing the plaintiffs, said they “were misclassified as exempt from the overtime laws although they clearly fall outside the legal definition of exempt executive or administrative employees.” He said as many as 1,000 Money Store employees may be affected. Money Store spokeswoman Paula Denham said she was aware of the suit but that “it is our policy not to comment on matters in litigation.” Money Store was acquired last year by First Union Corp., which was also named as a defendant. The Charlotte, N.C.-based banking company declined to comment on the suit. Its shares fell 88 cents to close at $53.75 on the NYSE.