HCA will pay $4.75 million to settle a collective action (Abasi v. HCA, the Healthcare Co. Inc., C.D. Cal., No. CV 03-7606) for unpaid overtime and rest and meal break violations. Approximately 1100 employees will share in the settlement, based on a formula that applies their pay rate to their length of service. The settlement was approved on May 9, 2005 by U.S. District Court Judge George King.
The workers claimed various violations of the federal Fair Labor Standards Act and California wage and hour laws, including claims for pay under Labor Code § 226.7 and claims that workers were undercompensated for working 12-hour shifts violated the federal FLSA. The terms of the deal require HCA subsidiary Los Robles Hospital & Medical Center to pay an average of slightly more than $3,000 per employee, after attorney's fees and other costs.