Wells Fargo Faces Lawsuit Over Denied Overtime Pay To Branch Workers: Report

An employee of Wells Fargo & Co WFC has reportedly initiated a class-action lawsuit against the bank, accusing the bank of not providing overtime pay to numerous branch workers across the U.S.

The lawsuit, spearheaded by Sabrina Perez, an employee at a Wells Fargo branch in Albuquerque, New Mexico, alleges that "senior premier bankers" were wrongfully categorized as management-level employees, reported Reuters.

This classification, according to the lawsuit, exempted them from overtime compensation under federal and state laws, despite these employees often working extra hours due to understaffing. The lawsuit demands unspecified damages, penalties, and legal fees.

Perez, a vocal advocate for unionizing, has been actively involved in pushing for workers' rights and is often quoted in union press releases and news articles, as per the report.

This lawsuit arrives amid Wells Fargo facing a campaign to unionize its workforce with union petitions at its Albuquerque branch and another in Alaska.

These are the first such instances for the company and for a major U.S. bank in many years. The U.S. Bureau of Labor Statistics notes that only 1% of workers in the financial industry are union members.

Price Action: WFC shares are trading higher by 0.47% at $44.80 in premarket on the last check Friday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.