On September 1, 2010, two former hourly employees filed a lawsuit against Dollar Tree Stores, Inc, seeking to recover back wages and overtime compensation. Plaintiffs allege that the employees, and others similarly situated were not paid for all time worked, including running errands for the company off the clock, and working during lunch breaks.
Dollar Tree owns and operates thousands of stores across the nation. Its headquarters is located in Chesapeake, Virginia. The lawsuit was brought in United States District Court for the Southern District of Florida, by Joann Badgett and Solomon Morgan.
Under the Fair Labor Standards Act, employers must pay their employees for all hours worked. Thus, errands such as purchasing supplies, running to the bank, and other errands generally constitute compensable time if performed for the employer. When such work is performed in excess of 40 hours in a workweek, employers are obligated to pay their employees at a rate of time and a half for all overtime hours.