Flight Centre Canada Reaches $7-Million Settlement In Class Action For Overtime Pay
Anna Kroupina, Open Jaw
John Beauvais, President, Flight Centre Canada.
Flight Centre Canada has agreed to pay $7-million and implement a new timekeeping system as part of a proposed settlement to a class action lawsuit alleging the travel giant failed to pay its workers overtime.
Launched in FEB 2019, the lawsuit claimed the company breached provincial employment standards legislation across the country by failing to track and properly compensate its travel consultants for the overtime hours they worked.
Flight Centre Canada has denied the claims, and no ruling was made on them.
“We are pleased to be able to put this litigation behind us as we respond to the challenges facing the travel industry caused by COVID-19 and prepare to welcome our clients back to travel,” said Flight Centre Canada President John Beauvais.
“We will continue to comply with applicable employment standards legislation governing hours of work and overtime to maintain our reputation as an employer of choice for motivated travel consultants while ensuring that they are fully compensated for all of their hard work.”
Under the settlement, Flight Centre Canada's $7 million payout will include legal fees, disbursements, administrative expenses and an honorarium to the plaintiff. Each member’s respective portion will be calculated based on factors including their length of employment and province of work.
Flight Centre will also implement a new timekeeping system for recording and tracking overtime hours.
“I am proud of this settlement and what it achieves for Flight Centre’s travel consultants,” said Representative Plaintiff Stephen Aps.
“As anyone who has worked in the travel industry knows, the work of travel consultants is hard, and often involves putting in long hours to meet the needs of their clients. I am particularly pleased that under the settlement, Flight Centre will implement a new timekeeping system for recording and tracking overtime hours that will ensure employees are properly compensated.”
Anna Kroupina Journalist
Anna is OJ's newest member and she joins the team as a writer/reporter. She co-writes the daily news and covers events. Although she's new to the industry, pursuing a career path in travel/tourism has been a goal since her first family road trip to the Florida Keys sparked a desire to discover the world and this exhilarating, fast-paced industry.