Employee v Northwestern Mutual Life Insurance Co.

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Northwestern Mutual Hit With $200M Class Action Lawsuit

Case ID: 5404
Amount At Issue: $200,000,000.00
Category: Employment
 
Last Update: 06/25/2009
Country:
 

Two former California and one former Georgia financial representatives of Northwestern Mutual Life Insurance Co. have filed a $200 million class action lawsuit accusing the company of denying them minimum and overtime pay.

The lawsuit was filed in the U.S. District Court for the Southern District of California in San Diego and alleges the Milwaukee-based life insurance company violated the federal Fair Labor Standards Act and Californias overtime and minimum wage laws.

The court complaint states the plaintiffs and other financial representatives of the company were denied minimum pay and overtime pay. Also, the plaintiffs requested the recertification of hundreds of current and former California Northwestern Mutual reps from independent contractors to full-time employees.

The plaintiffs are being represented in the court case by David Sanford, a partner at the Washington, D.C., firm of Sanford, Wittels & Heisler.

The complaint alleges that Northwestern Mutual intentionally and repeatedly misclassified sales employees as independent contractors, who are exempt from federal and state wage and hour laws. Full-time employees are not exempt.

Northwestern Mutual currently has about 7,000 financial representatives nationwide. The sales reps actually work for independently owned Northwestern Mutual agencies, but the parent company plays a strong role in the recruiting program and setting guidelines for hiring and training.

For more information please contact:
David Sanford
Sanford, Wittels & Heisler
1666 Connecticut Avenue NW, Suite 310
Washington, DC 20009
Phone: (202) 742-7777
Fax: (202) 742-7776

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