UBS AG, a financial services company, has agreed to pay as much as $89 million to settle class-action lawsuits alleging the company misclassified workers as exempt from overtime compensation.
The settlement resolves claims that UBS incorrectly classified financial advisors and financial advisor trainees as exempt under federal law and the laws of all the states where UBS employs such employees.
The company admitted no wrongdoing in settling the class-action lawsuits. The company said it agreed to settle the lawsuits because it did not believe protracted litigation was in the best interests of employees or clients.
Approximately three-quarters of the settlement amount will be available to employees via a claims process that must be approved by the court. The remaining quarter of the settlement amount will go to administrative and legal costs.