Wage-and-Hour Class Action Against Starbucks Settled, Attorney’s Fees Slashed

A federal court in California has given final approval to the settlement of a wage-and-hour class action against Starbucks Corp., including less than half of what plaintiffs’ counsel originally requested as attorney’s fees. York v. Starbucks Corp., No. 08-7919 (C.D. Cal., decided October 29, 2013). Starbucks apparently objected to the request for nearly $4.5 million, excluding nearly $250,000 in unreimbursed costs, characterizing it as “astonishing.” Thereafter, the parties agreed to attorney’s fees and costs of $1.9 million, and the court found the request reasonable. Under the agreement, 14,800 employees will receive payments of up to $900, for a total of $3 million, for alleged denial of statutorily mandated meal breaks and wage statements that failed to list the applicable overtime rate in violation of the California Labor Code. See Law360, October 28, 2013.