Schneider Logistics Settled Over Wage Theft Allegations

(12/11/2013) Schneider Logistics, a Walmart warehouse contractor, settled in the State of California over wage theft allegation. Schneider was accused of "failing to pay them for overtime and illegally deducting wages from their paychecks, among other claims" filed by 568 warehouse workers. Walmart was under pressure in this lawsuit since the workers handles Walmart merchandises. Well, Walmart gave a routine defense: none of the workers are directly employed by Walmart. Using contractor to perform some key business functions is one way that big business to be exempt from benefit packages and expensive HR investment. Example like this includes: Southwest Airline's ground crew in some smaller airports (Bronson, MO; Keywest, FL, I knew it through my personal conversation with the ground crew there). The reason: save $$$.


(5/14/2014) This is another settlement. Finally, the contractor of Walmart agreed, Schneider Logistics, the settlement ($21 millions) for the "backpay to warehouse workers in California who claim they were systematically shorted on pay for years.".