News
October 6th, 2005, 02:02 AM
Last year, game company Electronic Arts (EA) was slapped with a lawsuit claiming that they were working the employees too hard. The lawsuit was filed by San Francisco law firm Shubert & Reed regard some overtime “crunch” hours. EA has decided to settle with the upset employees for $15.6 million dollars, and in return the plaintiffs will drop the lawsuit.
The settlement has not yet been finalized. Following approval from the San Mateo County Superior courts, the money would be divided between the employees after legal fees have been paid. Any money left over will be given to the Jackie Robinson Foundation, which gives college scholarships to minority students. Also, according to the San Jose Mercury news, the company will change their entry level artists to hourly employees. They will able to earn overtime but will no longer receive bonuses or stock options.
The California Labor Law has exempted some in the software industry from the overtime regulations. Companies are not required to pay overtime if an individual makes more than $41 an hour and does work that is creative or intellectual in nature.
By: Mike Gallegos
The settlement has not yet been finalized. Following approval from the San Mateo County Superior courts, the money would be divided between the employees after legal fees have been paid. Any money left over will be given to the Jackie Robinson Foundation, which gives college scholarships to minority students. Also, according to the San Jose Mercury news, the company will change their entry level artists to hourly employees. They will able to earn overtime but will no longer receive bonuses or stock options.
The California Labor Law has exempted some in the software industry from the overtime regulations. Companies are not required to pay overtime if an individual makes more than $41 an hour and does work that is creative or intellectual in nature.
By: Mike Gallegos