Lawsuit Claims kgb, Conduit Global Underpaid Customer Service Reps for Overtime Hours

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A proposed collective action alleges kgb USA, Inc. and Conduit Global, Inc. have underpaid customer service representatives for some of their overtime hours by failing to account for shift differential pay when calculating their overtime rates.

The 12-page case claims kgb and subsidiary Conduit Global, who provide call center as a service infrastructure to their global clients, have a company-wide policy of excluding shift differential pay from workers’ time-and-a-half overtime rates in violation of the federal Fair Labor Standards Act (FLSA).

The FLSA, the suit explains, requires employers to pay covered employees no less than one-and-a-half times their regular pay rate for all hours worked in excess of 40 in a workweek. Per the case, workers’ shift differentials are part of their regular pay rate and should be included in the defendants’ overtime rate calculations.

“In violating the FLSA, Defendants acted willfully and with reckless disregard of clearly applicable FLSA provisions,” the complaint attests.

The plaintiff in the case says she worked for the defendants as a customer service representative from March 26 to August 3, 2022 and was paid a base hourly rate of $10.80. According to the suit, when the plaintiff worked certain hours, weekends or holidays, she received a shift differential of $1.00 per hour.

The lawsuit says the plaintiff regularly worked more than 40 hours per week and was paid at an overtime rate of $16.20, or one-and-a-half times her base hourly rate, even for weeks during which she earned shift differential pay.

“Defendants failed to include Plaintiff’s shift differential wages in the calculation of her regular rate of pay which resulted in unpaid overtime wages in violation of the FLSA,” the case claims.

The lawsuit looks to represent all current or former customer service representatives employed by either of the defendants in the U.S. during the applicable statute of limitations period who were paid a shift differential.

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