Asurion Failed to Properly Pay Workers After Kronos Data Breach, Lawsuit Claims

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Asurion, LLC faces a proposed class action that alleges the electronics repair and insurance company failed to properly pay employees after the December 2021 Kronos data breach rendered its timekeeping system inoperable.

According to the 17-page lawsuit, Asurion has failed to properly record workers’ hours in the wake of the breach, and instead paid them based on estimated or scheduled hours or previous pay periods. Per the case, this practice has resulted in many employees being paid less than they were owed, especially for overtime wages.

The lawsuit alleges Asurion’s failure to properly track workers’ hours has “pushed the effects of the Kronos hack onto the backs of its most economically vulnerable workers” and allowed the company to pocket their rightfully earned wages.

The case argues that Asurion, whose subsidiaries include ubreakifix, could have implemented one of several methods to track the hours of its more than 23,000 workers after the company’s timekeeping system, Kronos, fell victim to a ransomware attack on December 11, 2021.

For example, the suit says, the company could have had its employees and managers report accurate hours so they could be paid the full amount they were owed.

“But it chose not to do that,” the complaint states, claiming that Asurion instead chose to “arbitrarily” pay its employees based not on their actual hours but on estimates of their time worked or previous pay periods.

The plaintiff, who has worked for Asurion since August 2021, says that on several occasions when she actually received earned overtime wages, she was paid at a rate that did not include the required adjustments for shift differentials and non-discretionary bonuses. As a result of Asurion’s failure to take these additional wages into account, the plaintiff and other employees were not paid the full overtime premiums owed to them for the hours they worked in excess of 40 each week, the suit alleges.

The plaintiff looks to represent current or former non-overtime-exempt employees of Asurion (including its subsidiaries and alter egos) who worked for the company in the U.S. at any time since the onset of the Kronos ransomware attack, around December 11, 2021, to the present.

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