The prospect of defending a workplace class action inspires fear and loathing in all employers. And with good reason.
Such cases threaten to divert management resources from core business activities for months, or even years. Defense costs can surpass seven figures. Losing verdicts may exceed hundreds of thousands of dollars. Some statutory claims, such as those under the Fair Labor Standards Act, even allow a multiplier effect, which practically guarantees that a back-pay judgment will be doubled.
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