In Celine Ponce v. CH2M Hill Engineers, Inc., et al., Matern Law Group secured an $8.5 million settlement resolving claims involving alleged wage and hour violations
California workers have extensive protections governing wages, overtime, breaks, expense reimbursement, and final pay. When alleged violations affect groups of employees, class and representative actions can provide a way to address those workplace practices collectively.
The case involved CH2M Hill Engineers, Inc., Jacobs Engineering Group Inc., Jacobs Solutions Inc., and Jacobs Project Management Co. The defendants denied wrongdoing and liability.
What Did the Lawsuit Allege?
Celine Ponce filed a class action complaint alleging multiple violations of California wage and hour law.
According to the allegations, the defendants failed to:
- Provide required meal periods and rest breaks;
- Properly pay overtime and minimum wages;
- Pay all wages owed when employees separated from employment;
- Provide accurate itemized wage statements; and
- Reimburse employees for necessary business expenses.
The lawsuit also alleged that this conduct subjected the defendants to civil penalties under California’s Private Attorneys General Act (PAGA).
These allegations illustrate how wage and hour disputes can involve more than an employee’s hourly rate. California law regulates numerous aspects of compensation and working conditions, from overtime and breaks to expense reimbursement and the timing and documentation of wage payments.
From State Court to Federal Court
The litigation began with the filing of a class action complaint in state court. The matter was subsequently removed to the United States District Court for the Central District of California.
An amended complaint later added Jacobs Project Management Co. as an additional defendant.
As the case progressed, the parties entered mediation in an effort to resolve their dispute. An initial mediation session on September 20, 2024, did not result in an agreement. The parties returned for a second mediation on October 25, 2024, where they reached an agreement to settle the matter.
An $8.5 Million Settlement
The parties ultimately agreed to a gross settlement of $8.5 million.
According to the reported settlement information, deductions from the gross settlement included attorneys’ fees, litigation costs, a representative award, settlement administration expenses, and a $250,000 PAGA payment.
The settlement resolved the litigation without a finding that the defendants had committed the violations alleged in the complaint. The defendants denied the plaintiff’s material allegations and denied wrongdoing or liability.
Why Wage and Hour Class Actions Matter
A single workplace policy or practice can potentially affect many employees in similar ways. For example, questions about how workers are paid, whether breaks are provided, or whether business expenses are reimbursed may extend beyond one employee.
Class actions can allow workers with sufficiently similar claims to pursue those issues collectively when the legal requirements for class treatment are satisfied.
PAGA provides a different mechanism under California law. It can permit an eligible employee to pursue certain civil penalties on behalf of the state for alleged Labor Code violations affecting the employee and other workers.
The two mechanisms are legally distinct, but wage and hour litigation can sometimes involve both class claims and PAGA claims, as this case did.
California Workers Have Rights Regarding Their Pay and Working Conditions
California employment law establishes protections covering many of the issues raised in this case. Depending on the circumstances, workers may have rights involving:
- Meal and rest periods: Nonexempt employees generally have rights to legally compliant meal and rest periods based on the length and circumstances of their shifts.
- Overtime: Eligible nonexempt employees generally must receive overtime compensation when they work beyond applicable daily or weekly thresholds.
- Minimum wages: Employers must comply with applicable state and local minimum wage requirements.
- Final wages: California has rules governing when employees must receive wages owed once their employment ends.
- Wage statements: Employers generally must provide employees with itemized wage statements containing information required by California law.
- Business expenses: California law generally requires employers to reimburse employees for necessary expenditures or losses incurred as a direct consequence of performing their job duties.
Whether a particular workplace practice violates these requirements depends on the specific facts, the employee’s classification, the applicable law, and other circumstances.
Holding Employers Accountable Through Collective Action
For an individual employee, a missed break, unpaid period of work, unreimbursed expense, or inaccurate paycheck may initially seem relatively small. When the same alleged practice affects a large group of workers over an extended period, however, the combined impact can become substantial.
That is one reason class and representative litigation can play an important role in California employment law: these cases can address alleged workplace practices that extend across a group of employees rather than requiring every affected worker to pursue the issue independently.
Matern Law Group has represented employees in individual employment lawsuits and class actions involving wage and hour violations, discrimination, harassment, retaliation, wrongful termination, and other workplace issues. The firm’s broader mission is to protect employees’ rights and hold employers and other powerful institutions accountable.
Think Your Employer May Be Violating California Wage and Hour Laws?
If you believe you have been denied overtime, meal or rest breaks, earned wages, expense reimbursement, or other compensation, you may have rights under California law.
Contact Matern Law Group for a free consultation to discuss your situation and learn more about your legal options.
Prior results do not guarantee a similar outcome. Every case depends on its individual facts and circumstances.
