Wal-Mart Stores Inc. Likely To Be Fined $100 Million

Wal-Mart might have to pay back $100 million for violating the minimum wage law of California.

Wal-Mart Stores Inc. is known for paying less to its employees. Despite of the fact that the company owns one of the largest retail store chains in the United States, it does not value its employees. In fact, it sometimes violates the minimum wage rules and regulations as well. It has happened many times that the people working at the stores have protested against the company’s wage policy. However, it has always been reluctant to increase or take appropriate action.

Walmart is one of the world’s leading and renowned businesses. According to International Business Times, Wal-Mart Stores could owe a massive $100 million fine for minimum wage violations. The company has not yet responded to whether it would come forward and appeal against this ruling or sit back and pay $100 million for its wrong doings. It is believed that the payment policies of the company for truck drivers violated the minimum wage law of California. The federal judge ruled this and the lawyers who brought this case to the lawyer stated that the store could now owe more than $100 million in payback.

So far, Wal-Mart has opposed the ruling but has not yet come to a final decision whether it wants to file an appeal against it or not. Previously, the truck drivers sued the company in 2008 where they explained that the retail giant failed to compensate them for the additional tasks, including rest breaks, inspections, fueling, waiting at weighing scales, washing trucks, and mandatory resting period to reduce tiredness and fatigue.

Walmart does not pay drivers on hourly basis in which they have worked. The payment is done based on driven miles. The US District Judge, Susan Illston, stated in her May 28 ruling about company not complying with the state’s minimum wage policy. She said, “Here, certain required tasks are specifically designated as unpaid activities. The court finds that the payment policies detailed in the manuals violate California minimum wage law by failing to pay drivers at least minimum wage for all the time they work.”

The judge further showed that the pay manuals of the company confirmed this violation. The pay manuals mentioned in the lawsuit are from 2001, 2006, and 2008.

However, International Business Times report, “With 1.4 million workers, Walmart is the nation’s largest private-sector employer. Compared to the rest of its workforce, many of whom make just over state and federal minimum wages, truck drivers are paid handsomely.”