Air Medical Company Overtime Lawsuit Leads to $78 Million Settlement

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Air Medical Company Overtime Lawsuit Leads to $78 Million Settlement.jpg

In recent news, Alameda County Superior Court Judge Winifred Y. Smith agreed to a preliminary settlement. The settlement request was filed by 450 of Air Methods Corporation of Colorado's current and former medical flight crew members employed in California.

Air Medical Company Ordered to Pay $78 Million to Flight Crew Employees:

Air Methods, a medical helicopter operator, was ordered to pay $78 million to its California based flight crew employees for unpaid overtime and missed meal breaks and rest periods. The settlement resolves class action overtime lawsuit. In addition to the lump sum, Air Methods also agreed to pay its medical flight crew daily overtime beginning June 28. The agreement to pay daily overtime is an estimated 20% increase to flight crew member salaries.

The Defendant: Air Methods

Air Methods is recognized as one of the nation's biggest air medical transport organizations. The company also operates helicopter bases. The helicopters are used to dispatch medical crews of nurses and paramedics – frequently to far flung locations. The lawsuit alleged that Air Methods refused to pay flight crew members daily overtime.

What is Daily Overtime Pay?

Daily overtime refers to overtime wages earned when a nonexempt employee works more than 8 hours in one day. Air Method's flight crew members were allegedly working 24-hour shifts on a regular basis. The medical transportation company allegedly didn't even allow flight crew members to take mandatory off-duty meal breaks or rest periods.

Overtime Lawsuit Settlement Approval:

While the judge already granted preliminary approval, final approval should be granted in October. If all goes as planned, each Plaintiff will receive more than $100,000 each on average due to the settlement. The Director of Communications for Air Methods Corporation said that the decision to change the pay practices puts teammates first and that it will make the company stronger in the state of California by helping them continue to recruit and retain the top medical clinicians available. 

If you have questions about how to identify California labor law violations or if you need to file an overtime lawsuit, please get in touch with Blumenthal Nordrehaug Bhowmik DeBlouw LLP. Experienced employment law attorneys are ready to assist you in any one of various law firm offices located in San Diego, San Francisco, Sacramento, Los Angeles, Riverside, and Chicago.