On November 23, 2016, a jury returned a verdict for the plaintiffs in Ridgeway v. Wal-Mart Stores, Inc., finding that the retail giant Wal-Mart owed approximately 850 former Wal-Mart truck drivers back pay for hours worked for which they had not been compensated. These hours included time spent on pre- and post-trip inspections, 10-minute rest breaks, and mandatory 10-hour layovers. The jury awarded the drivers $55 million, with the bulk of the award earmarked for Wal-Mart’s failure to pay drivers the minimum wage for the aforementioned mandatory layovers.
The Ridgeway decision came out of the Northern District of California, where the case was approved for class certification and ultimately tried. Plaintiffs claimed that Wal-Mart failed to pay its truck drivers the minimum wage and failed to pay them for all work done. The drivers alleged that Wal-Mart’s compensation scheme, which paid drivers based on activities performed rather than hours worked, meant that drivers were not paid the minimum wage for all hours worked. The payment structure calculated wages for drivers based on mileage, activity pay, and non-activity pay; “activity pay” refers to pay for regular compensable job duties, and “non-activity pay” to pay for events at Wal-Mart dispatch and home offices, as well as unplanned events.