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| Grewal Law, PLLC

The retail giant Wal-Mart has agreed to pay $40 million in settlement costs to 87,500 current and former employees that alleged that the company altered time cards, refused to pay overtime and failed to provide rest and meal breaks. Under the terms of the agreement, filed in Middlesex, Massachusetts Superior Court last week, any employee who worked for Wal-Mart between 1995 to the present will receive a payment of about $400 to $2,500, depending on the number of years of employment. The average worker is expected to receive a check of about $734.

Under the terms of the settlement agreement, neither party is allowed to comment. However, Wal-mart spokeswoman, Daphne Moore, stated that the settlement was “in the best interest of our company” and that the “allegations are not representative of the company we are today.”

The settlement is believed to be the largest of its kind in Massachusetts history. However, this lawsuit is but one of many filed against Wal-Mart in 2001. In fact, Wal-Mart has agreed to pay $640 million to settle 63 wage-and-hour violations in the past.

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