Welcome to the ZARA California Employees’ Lawsuit

Case Background

On September 29, 2023, a proposed class action lawsuit was filed by the Plaintiff and proposed Class Representative on behalf of hundreds of past and present non-exempt California employees who, within the four-year period prior to the filing of this action, worked for ZARA™ and any of its subsidiaries as an hourly wage worker. In the lawsuit, the proposed Class Representative alleges that ZARA™ committed numerous violations of the California Labor Code, as well as the applicable California Wage Order.

ZARA™ Alleged California Labor Law Violations

In the lawsuit, the Class Representative alleges that ZARA™ committed unlawful business practices in the State of California by: 

1. Failing to pay the proposed Class Members all of their earned minimum wages and overtime wages.

2. Failing to pay the proposed Class Members all of their earned overtime for shifts worked in excess of 8 hours in a day or 40 hours in seven-day period; 

3. Failing to pay the proposed Class Members all of their earned wages upon the termination of their employment with ZARA™ 

4. Failing to provide the proposed Class Members accurate and lawful wage statements; 

5. Failing to authorize and permit the proposed Class Members their earned, paid 10 consecutive minute, uninterrupted rest period for shifts worked in excess of 4 hours or a second rest period for shifts in excess of 6 hours; 

6. Failing to provide the proposed Class Members their earned 30 consecutive minute, uninterrupted meal periods for shifts worked in excess of 5 hours or a second meal period for shifts in excess of 10 hours; 

7. Failing to indemnify employees for all necessary expenditures or losses incurred by the employee in direct consequence of the discharge of his or her duties.

8. Failing to pay out vested vacation time upon termination.

Further, it is alleged that Defendant’s violations of California labor law warrant the imposition of penalties against ZARA™ pursuant to the Private Attorney General Act. 

Through the lawsuit, the proposed Class Representative is trying to recover all unpaid wages, statutory penalties, civil penalties, liquidated damages, interest, costs, and attorney’s fees, from ZARA™, on behalf of all of the non-exempt, hourly wage workers who were employed by ZARA™ at any time from March 25, 2020 to the present, and who experienced one or more of the labor law violations listed above. Moreover, through the lawsuit, the proposed Class Representative is seeking for the Court to impose an injunction against ZARA™ to prevent the employer from continuing to commit the alleged violations of California labor law.

The Law

FAILURE TO PAY MINIMUM WAGES

The law in California for non-exempt employees is generally as follows:

The minimum wage for employees fixed by the commission or by any applicable state or local law, is the minimum wage to be paid to employees, and the payment of a lower wage than the minimum so fixed is unlawful. Notwithstanding any agreement to work for a lesser wage, any employee receiving less than the legal minimum wage is entitled to recover in a civil action the unpaid balance of the full amount of this minimum wage, including interest thereon, reasonable attorney’s fees, and costs of suit.

FAILURE TO PROVIDE OVERTIME

The law in California for non-exempt employees is generally as follows:

Eight hours of labor constitutes a day's work. Any work in excess of eight hours in one workday and any work in excess of 40 hours in any one workweek and the first eight hours worked on the seventh day of work in any one workweek shall be compensated at the rate of no less than one and one-half times the regular rate of pay for an employee. Any work in excess of 12 hours in one day shall be compensated at the rate of no less than twice the regular rate of pay for an employee. In addition, any work in excess of eight hours on any seventh day of a workweek shall be compensated at the rate of no less than twice the regular rate of pay of an employee.  Notwithstanding any agreement to work for a lesser wage, any employee receiving less than the legal overtime wage is entitled to recover in a civil action the unpaid balance of the full amount of this overtime wage, including interest thereon, reasonable attorney’s fees, and costs of suit.

FAILURE TO PROVIDE MEAL BREAKS

The law in California for non-exempt employees is generally as follows:

No employer shall employ any person for a work period of more than five (5) hours without a meal period of not less than thirty (30) minutes, except that when a work period of not more than six (6) hours will complete the day's work the meal period may be waived by mutual consent of the employer and employee. Unless the employee is relieved of all duty during a thirty (30) minute meal period, the meal period shall be considered an "on duty" meal period and counted as time worked. An "on duty" meal period shall be permitted only when the nature of the work prevents an employee from being relieved of all duty and when by written agreement between the parties an on-the-job paid meal period is agreed to. The written agreement shall state that the employee may, in writing, revoke the agreement at any time If an employer fails to provide an employee a meal period in accordance with the applicable provisions of this Order, the employer shall pay the employee one (1) hour of pay at the employee's regular rate of compensation for each work day that the meal period is not provided.   

FAILURE TO PROVIDE REST BREAKS

The law in California for non-exempt employees is generally as follows:

Every employer shall authorize and permit all employees to take rest periods, which insofar as practicable shall be in the middle of each work period. The authorized rest period time shall be based on the total hours worked daily at the rate of ten (10) minutes net rest time per four (4) hours or major fraction thereof. However, a rest period need not be authorized for employees whose total daily work time is less than three and one-half (3 ½) hours. Authorized rest period time shall be counted as hours worked for which there shall be no deduction from wages. If an employer fails to provide an employee a rest period in accordance with the applicable provisions of this Order, the employer shall pay the employee one (1) hour of pay at the employee's regular rate of compensation for each work day that the rest period is not provided.

WAITING TIME PENALTIES

The law in California for non-exempt employees is generally as follows:

If an employer discharges an employee, the wages earned and unpaid at the time of discharge are due and payable immediately.  If an employee not having a written contract for a definite period quits his or her employment, his or her wages shall become due and payable not later than 72 hours thereafter, unless the employee has given 72 hours previous notice of his or her intention to quit, in which case the employee is entitled to his or her wages at the time of quitting. If an employer willfully fails to pay, without abatement or reduction, in accordance with Sections 201, 201.5, 202, and 205.5 of the California Labor Code, any wages of an employee who is discharged or who quits, the wages of the employee shall continue as a penalty from the due date thereof at the same rate until paid or until an action therefor is commenced; but the wages shall not continue for more than 30 days.  

FAILURE TO PROVIDE ACCURATE WAGE STATEMENTS

The law in California for non-exempt employees is generally as follows:

Every employer shall, semimonthly or at the time of each payment of wages, furnish each of his or her employees, either as a detachable part of the check, draft, or voucher paying the employee's wages, or separately when wages are paid by personal check or cash, an accurate itemized statement in writing showing (1) gross wages earned, (2) total hours worked by the employee, except for any employee whose compensation is solely based on a salary and who is exempt from payment of overtime under subdivision (a) of Section 515 or any applicable order of the Industrial Welfare Commission ... (4) all deductions, provided that all deductions made on written orders of the employee may be aggregated and shown as one item, (5) net wages earned, (6) the inclusive dates of the period for which the employee is paid, (7) the name of the employee... and (9) all applicable hourly rates in effect during the pay period and the corresponding number of hours worked at each hourly rate by the employee. The deductions made from payments of wages shall be recorded in ink or other indelible form, properly dated, showing the month, day, and year, and a copy of the statement or a record of the deductions shall be kept on file by the employer for at least three years at the place of employment or at a central location within the State of California.  (e) An employee suffering injury as a result of a knowing and intentional failure by an employer to comply with subdivision (a) is entitled to recover the greater of all actual damages or fifty dollars ($50) for the initial pay period in which a violation occurs and one hundred dollars ($100) per employee for each violation in a subsequent pay period, not exceeding an aggregate penalty of four thousand dollars ($4,000), and is entitled to an award of costs and reasonable attorney's fees.

ATTORNEYS WHO PROPOSE TO REPRESENT ZARA™

Sheppard Mullin LLP

Adam R. Rosenthal

12275 El Camino Real, Suite 100, San Diego, CA 92130-4092 Tel: 858-720-8900 arosenthal@sheppardmullin.com

Krista Stevenson Johnson

Four Embarcadero Center, 17th Floor, San Francisco, CA 94111-4109 Tel: 415-434-9100 ksjohnson@sheppardmullin.com

YOU MAY BE ENTITLED TO COMPENSATION

If you worked as an hourly employee at ZARA™ within the last four years, you may be a potential class member. For more information, please contact us at (310) 438-5555 or david@tomorrowlaw.com , or fill out the form below and someone will reach out to you shortly.