Kroger Lawsuit
Kroger Lawsuit
v.
Defendant.
(“Kroger”), which owns and operates the Kroger grocery stores throughout Virginia and West
Virginia, implemented a new payroll system called MyTime or MyInfo (collectively referred to as
“MyTime”). Since the rollout of MyTime, there have been a litany of problems with workers
receiving their lawfully owed wages. This has included workers not being paid for hours worked,
workers not being compensated at the proper overtime rates pursuant to state and federal law, and
workers having unauthorized amounts deducted from their paychecks. These problems have
arisen in the midst of the winter holiday season, a notoriously busy time period for Kroger stores
during which employees are pressured to work harder and longer hours. Although Kroger is
aware of these issues, it has failed to take prompt action to rectify these problems, instead forcing
employees to scramble when their proper wages do not arrive. For example, Kroger employees
have been forced to work second jobs, or take on high-interest and risky payday loans in order to
2. Plaintiffs, by and through their undersigned counsel, bring this action on behalf of
themselves and others similarly situated against Defendant Kroger for failing to pay its employees
legally required wages and overtime premiums in violation of the Federal Fair Labor Standards
Act of 1938 (the “FLSA”), as amended, 29 U.S.C. §§ 201 et. seq., the Virginia Wage Payment
Law, Virginia Code § 40.1-29 et seq. (“VWPL”), the Virginia Overtime Wage Act, Virginia Code
§ 40.1-29.2 et seq. (“VOWA”), the Virginia Minimum Wages Act, Virginia Code § 40.1-28.8 et
seq. (“VMWA”), the West Virginia Wage Payment and Collection Act, West Virginia §21-5-1 et
seq. (“WVWPCA”), and the West Virginia Minimum Wage and Maximum Hours Standards for
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3. This Court has jurisdiction over Defendant pursuant to Section 16(b) of the FLSA,
29 U.S.C. § 216(b), and 28 U.S.C. § 1337(a) relating to “any civil action or proceeding arising
under an Act of Congress regulating commerce.” Subject matter jurisdiction is invoked under 28
U.S.C. § 1331.
4. This Court has supplemental jurisdiction over Plaintiffs’ state-law claims pursuant
to 28 U.S.C. § 1367(a), which confers federal subject matter jurisdiction over “all other claims
that are so related to claims in the action within such original jurisdiction that they form part of
the same case or controversy.” As discussed below, Plaintiffs’ state-law claims arise from a
common set of operative facts—i.e., their employment and wages paid by Defendant—and are so
related to the claims within the original jurisdiction of the Court that they form part of the same
case or controversy.
5. This Court also has jurisdiction over Plaintiffs’ state-law claims pursuant to 28
U.S.C. § 1332 because the amount in controversy exceeds the sum of $5,000,000 and there are
members of the class who are citizens of different states than Defendant.
PARTIES
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9. Plaintiff Sharon Simpson is a resident of St. Albans, West Virginia and was
10. Plaintiff Lori Dalton is a resident of Winfield, West Virginia and is employed by
owns and operates a chain of Kroger retail grocery stores in Virginia and West Virginia, among
other states. Kroger Limited Partnership I Mid-Atlantic Marketing Area is headquartered in and
has its principal place of business at 140 Eastshore Drive, Suite 300, Glen Allen, VA 23059.
12. Defendant is an enterprise whose annual gross volume of sales made or business
done is not less than $500,000 (exclusive of excise taxes at the retail level that are separately
stated).
including by regularly purchasing and selling items produced and transported in interstate
commerce, by regularly using interstate payment systems, and by regularly using interstate means
of communications.
FACTUAL ALLEGATIONS
14. In 2022, Kroger implemented a new payroll system for its hourly, non-exempt
employees in Virginia and West Virginia. This new payroll system is called “MyTime” or
15. Since the MyTime system was rolled out, and continuing through the present,
Plaintiffs and similarly situated hourly, non-exempt employees of Defendant in Virginia and West
Virginia have not been regularly receiving their lawfully owed wages.
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16. The failure to properly pay Plaintiffs and others similarly situated has occurred and
continues to occur in a number of ways, which include but are not limited to: (1) missing or late
paychecks; (2) paychecks for amounts less than are owed; and (3) unauthorized and/or incorrect
deductions or withholdings.
17. Plaintiff Donald L. Austin Jr. works for Defendant in Appomattox, Virginia and
earned an hourly rate of $17.25. Over the past several months, since the institution of MyTime,
there have been multiple weeks where he has not timely received a paycheck even though he
performed work for Defendant. Additionally, there were weeks where unauthorized amounts
have been deducted from his paycheck, resulting in him receiving less than his earned wages.
18. Plaintiff Deborah Winston has worked for Defendant in Mechanicsville, Virginia
since 2004 and earned an hourly rate of $17.85. Since MyTime has been instituted, Deborah
Winston has worked hours in excess of forty hours per week. However Kroger has failed to pay
her at one and one-half times her regular rate for those hours worked in excess of forty per week.
For example, during the week of December 11, 2022, Ms. Winston worked 54.75 hours. For
forty hours of work she was paid at her regular rate of $17.85 per hour, but she was not paid at
time and a half for the additional 14.75 hours. Kroger has been made aware of these issues, but
19. Plaintiff Sharon Simpson worked for Defendant in Charleston, West Virginia from
August to September 2022, which was after the institution of MyTime. She worked
approximately 26 hours of employee training. Ms. Simpson never received any pay while
working for Kroger. Kroger has been made aware of these issues, but has failed to correct them.
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20. Plaintiff Lori Dalton has worked for Defendant in West Virginia since 2014. For
approximately seven weeks in 2022, after the institution of MyTime, Ms. Dalton’s copay for
spousal insurance was deducted twice from each paycheck, resulting in the loss of hundreds of
dollars. Kroger has been made aware of these issues, but has failed to correct them.
21. The issues faced by the Named Plaintiffs are common to other employees in the
22. Defendant has been notified of the failure to properly pay wages to Plaintiffs and
others similarly situated repeatedly, and Defendant has acknowledged that the introduction of
MyTime has resulted in underpayments to Kroger employees. However, these unlawful pay
practices continue. Over the past several weeks, hundreds of workers have reported problems
23. This action is maintainable as an opt-in collective action pursuant to the FLSA, 29
U.S.C. § 216(b).
24. Defendant has violated the FLSA by failing to pay Plaintiffs Donald Austin,
Deborah Winston, Sharon Simpson and others similarly situated for all hours worked and for
failing to pay Plaintiffs Donald Austin, Deborah Winston, Sharon Simpson and others similarly
situated at a rate of one-and-one half times their regular rate of pay for all hours worked over
25. This action can, and should, be maintained as a collective action for all claims that
26. Plaintiffs Donald Austin, Deborah Winston, Sharon Simpson and others similarly
situated seek certification of their claims as a collective action on behalf of all past and present
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non-exempt employees who worked for Defendant in Virginia and West Virginia, who, while
working for Defendant, were not compensated for all hours worked or were not compensated one-
and-a-half times their regular rate of pay for those hours worked in excess of forty in any one
workweek, at any time since the introduction of MyTime until the date of judgment.
27. Members of the collective action are similarly situated. Members of the proposed
collective action have been subjected to the same or substantially the same pay policies and
practices. The identities of the members of the proposed collective action are known to
28. Plaintiffs Donald Austin, Deborah Winston and Sharon Simpson hereby consent to
be party plaintiffs in this action under 29 U.S.C. § 216(b). If this case does not proceed as a
29. Defendant has violated the VWPL, VOWA and VMWA, resulting in damages to
Plaintiffs Donald Austin and Deborah Winston (“Virginia Named Plaintiffs”) as well as members
of the Virginia Class in the form of unpaid wages, liquidated damages, costs, and reasonable
attorneys’ fees.
30. The Virginia Named Plaintiffs bring these VWPL, VOWA and VMWA claims
31. The Virginia Class is defined as follows: All current and former hourly employees
who worked for Defendant in Virginia at any time since the introduction of MyTime through the
date of judgment who were not paid wages for all hours worked, were not paid overtime
premiums, had unauthorized deductions taken from their pay, or were not paid minimum wage.
32. Members of the Proposed Rule 23 Class are readily ascertainable. The identity of
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33. The Virginia Proposed Rule 23 Class meets all the requirements of Rule 23(a) and
(b)(3):
a. Numerosity: Upon information and belief, there are thousands of persons who
worked for Defendant that have been subjected to the challenged practices. Therefore, joinder of
b. Commonality: The Virginia Named Plaintiffs and all members of the Proposed
Rule 23 Class have been compensated pursuant to the unlawful practices alleged herein and,
therefore, one or more questions of law or fact are common to the Proposed Rule 23 Class. These
common questions include, but are not limited to, the following:
putative Virginia Class Members at the lawful rate for all hours worked
ii. Whether Defendant failed to compensate the Virginia Named Plaintiffs and
c. Typicality: The Virginia Named Plaintiffs and members of the Proposed Virginia
Class were subjected to the same unlawful policies, practices, and procedures and sustained
similar losses, injuries, and damages. All class members were subjected to materially similar
compensation practices by Defendant, as alleged herein, and were denied lawfully owed
payments. The Virginia Named Plaintiffs’ claims are therefore typical of the claims that could be
brought by members of the Proposed Virginia Class, and the relief sought is typical of the relief
that could be sought by members of the Proposed Virginia Class in separate actions.
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d. Adequacy of Representation: The Virginia Named Plaintiffs are able to fairly and
adequately protect the interests of all members of the Proposed Virginia Class, as they are
challenging the same practices as the Proposed Virginia Class as a whole, and there are no known
conflicts of interest between Virginia Named Plaintiffs and the members of the Proposed Virginia
Class. Virginia Named Plaintiffs have retained counsel who have extensive experience with the
predominate over any individual issues. A class action is superior to individual adjudications of
this controversy. Pursuit of this action as a class would provide an efficient mechanism for
adjudicating the claims of the Virginia Named Plaintiffs and the members of the Proposed Rule
23 Class.
34. Defendant has violated the WVWPCA and WVMWA, resulting in damages to
Plaintiffs Sharon Simpson and Lori Dalton (“West Virginia Named Plaintiffs”) as well as
members of the West Virginia Class in the form of unpaid wages, liquidated damages, costs, and
35. The West Virginia Named Plaintiffs bring these WVWPCA and WVMWA claims
36. The West Virginia Class is defined as follows: All current and former hourly
employees who worked for Defendant in West Virginia at any time since the introduction of
MyTime through the date of judgment who were not paid wages for all hours worked, were not
paid overtime premiums, had unauthorized deductions taken from their pay, or were not paid
minimum wage.
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37. Members of the Proposed West Virginia Class are readily ascertainable. The
38. The Proposed West Virginia Class meets all the requirements of Rule 23(a) and
(b)(3):
a. Numerosity: Upon information and belief, there are thousands of persons who
worked for Defendant that have been subjected to the challenged practices. Therefore, joinder of
b. Commonality: The West Virginia Named Plaintiffs and all members of the
Proposed West Virginia Class have been compensated pursuant to the unlawful practices alleged
herein and, therefore, one or more questions of law or fact are common to the Proposed West
Virginia Class. These common questions include, but are not limited to, the following:
Plaintiffs and West Virginia Class Members for all hours worked; and
Plaintiffs and putative West Virginia Class Members at the lawful rate for
all hours worked at least twice each month with no more than 19 days
c. Typicality: The West Virginia Named Plaintiffs and members of the Proposed West
Virginia Class were subjected to the same unlawful policies, practices, and procedures and
sustained similar losses, injuries, and damages. All class members were subjected to materially
similar compensation practices by Defendant, as alleged herein, and were denied lawfully owed
payments. The West Virginia Named Plaintiffs’ claims are therefore typical of the claims that
could be brought by members of the Proposed West Virginia Class, and the relief sought is typical
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of the relief that could be sought by members of the Proposed West Virginia Class in separate
actions.
d. Adequacy of Representation: The West Virginia Named Plaintiffs are able to fairly
and adequately protect the interests of all members of the Proposed West Virginia Class, as they
are challenging the same practices as the Proposed West Virginia Class as a whole, and there are
no known conflicts of interest between the West Virginia Named Plaintiffs and the members of
the Proposed West Virginia Class. The West Virginia Named Plaintiffs have retained counsel
who have extensive experience with the prosecution of wage-and-hour claims and complex class-
action litigation.
predominate over any individual issues. A class action is superior to individual adjudications of
this controversy. Pursuit of this action as a class would provide an efficient mechanism for
adjudicating the claims of Plaintiffs and the members of the Proposed Rule 23 Class.
CAUSES OF ACTION
COUNT I
Violation of the Fair Labor Standards Act
29 U.S.C. § 201, et seq.
(On Behalf of Plaintiffs Donald Austin, Deborah Winston,
Sharon Simpson and Others Similarly Situated)
39. Plaintiffs re-allege and incorporate by reference the allegations set forth in the
preceding paragraphs.
40. The FLSA requires employers to pay non-exempt employees minimum wage for
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41. Defendant violated the FLSA by knowingly failing to pay Plaintiffs Donald
Austin, Sharon Simpson and other similarly situated individuals minimum wage for all hours
worked.
42. The FLSA requires employers to pay non-exempt employees an overtime premium
of one and one half times their regular pay for hours worked in excess of 40 hours in any one
work week.
43. Defendant violated the FLSA by knowingly failing to pay Plaintiffs Donald
Austin, Deborah Winston and other similarly situated individuals one and one half times their
regular hourly rate for hours worked in excess of 40 hours in any one work week.
44. Plaintiffs are “employees” and Defendant is their “employer” under 29 U.S.C. §
203.
45. Defendant’s violations of the FLSA were repeated, knowing, willful and
intentional.
46. Defendant is liable to Plaintiffs, and all other similarly situated individuals, under
the FLSA, 29 U.S.C. § 216(b), for all unpaid wages and unpaid overtime wages, plus an equal
amount in liquidated damages, attorney’s fees, litigation expenses, costs, and any other and
COUNT II
Violation of the Virginia Wage Payment Law
Va. Code § 40.1-29, et seq.
(On Behalf of the Virginia Named Plaintiffs and Others Similarly Situated)
47. Plaintiffs re-allege and incorporate by reference the allegations set forth in the
preceding paragraphs.
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48. Virginia Code § 40.1-29(A) provides that employers “shall establish regular pay
periods and rates of pay for employees” and that “employees paid on an hourly rate at least once
49. Virginia Code § 40.1-29(J) also provides that “[i]f the court finds that the
employer knowingly failed to pay wages to an employee in accordance with this section, the court
shall award the employee an amount equal to triple the amount of wages due and reasonable
50. Defendant violated Virginia law by knowingly failing to timely pay Virginia
51. The Virginia Named Plaintiffs and others similarly situated are “employees” and
52. Defendant’s violations of Virginia law are repeated, knowingly, willful, and
intentional.
53. Defendant is liable to the Virginia Named Plaintiffs, and all other similarly situated
individuals, under the Virginia Wage Payment Law, Virginia Code § 40.1-29, for all unpaid
wages, plus liquidated damages, attorney’s fees, litigation expenses, costs, and any other and
COUNT III
Violation of the Virginia Overtime Wage Act
Va. Code § 40.1-29.2, et seq.
(On Behalf of the Virginia Named Plaintiffs and Others Similarly Situated)
54. Plaintiffs re-allege and incorporate by reference the allegations set forth in the
preceding paragraphs.
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55. Virginia Code § 40.1-29.3(B) provides that “[a]n employer shall pay each
employee an overtime premium at a rate not less than one and one-half times the employee’s
regular rate for any hours worked by an employee in excess of 40 hours in any one workweek.”
56. Virginia Code § 40.1-29.3(C) provides that when an employer fails to pay the
overtime premium above, “the employee may bring an action against the employer in a court of
competent jurisdiction to recover payment of the overtime wages, and the court shall award the
overtime wages owed, an additional equal amount as liquidated damages, and reasonable attorney
57. Defendant violated Virginia law by failing to pay the Virginia Named Plaintiffs
and others similarly situated one and one half times their regular hourly rate for hours worked in
58. The Virginia Named Plaintiffs and others similarly situated are “employees” and
59. Defendant’s violations of Virginia law are repeated, knowingly, willful, and
intentional.
60. Defendant is liable to the Virginia Named Plaintiffs, and all other similarly situated
individuals, under the Virginia Overtime Wage Act, Virginia Code § 40.1-29.2 et seq., for all
unpaid overtime wages, plus liquidated damages, attorney’s fees, litigation expenses, costs, and
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COUNT IV
Violation of the Virginia Minimum Wage Act
Va. Code § 40.1-28.8 et seq.
(On Behalf of Plaintiff Donald Austin and Others Similarly Situated)
61. Plaintiffs re-allege and incorporate by reference the allegations set forth in the
preceding paragraphs.
62. Virginia Code § 40.1-28.10(A)(2) provides that from January 1, 2022 to January
2023, employers “shall pay to each of its employees wages at a rate not less than the greater of (i)
63. Virginia Code § 40.1-28.10(A)(2) provides that from January 1, 2023 to January
2025, employers “shall pay to each of its employees wages at a rate not less than the greater of (i)
64. Defendant violated Virginia law by failing to pay Plaintiff Donald Austin and
65. Plaintiff Donald Austin is an “employee” and Defendant is his “employer” under
66. Defendant’s violations of Virginia law are repeated, knowingly, willful, and
intentional.
67. Defendant is liable to Plaintiff Donald Austin, and all other similarly situated
individuals, under the Virginia Minimum Wage Act, Virginia Code § 40.1-28.8 et seq, for all
unpaid wages plus interest at eight percent per annum upon such unpaid wages in addition to
attorney’s fees, litigation expenses, costs, and any other and further relief this Court deems
appropriate.
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COUNT V
Violation of the West Virginia Wage Payment and Collection Act
W. Va. Code § 21-5-4, et seq.
(On Behalf of the West Virginia Named Plaintiffs and Others Similarly Situated)
68. Plaintiffs re-allege and incorporate by reference the allegations set forth in the
preceding paragraphs.
69. West Virginia Code § 21-5-3(a) provides that employers “shall settle with its
employees at least twice each month in a manner of the person, firm, or corporation’s choosing, .
. . with no more than 19 days between settlements . . . and pay them the wages due, less
authorized deductions and authorized wage assignments, for their work or services.”
70. West Virginia Code § 21-5-12(a) provides that “[a]ny person whose wages have
not been paid in accord with this article . . . may bring any legal action necessary to collect a
71. West Virginia Code § 21-5-12(b) provides that “[t]he court in any action brought
under this article may, in the event that any judgment is awarded to the plaintiff or plaintiffs,
assess costs of the action, including reasonable attorney fees against the defendant.”
72. Defendant violated West Virginia law by knowingly failing to pay the West
Virginia Named Plaintiffs and others similarly situated their wages due twice a month or not more
73. The West Virginia Named Plaintiffs are “employees” and Defendant is their
74. Defendant’s violations of West Virginia law are repeated, knowingly, willful, and
intentional.
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75. Defendant is liable to West Virginia Named Plaintiffs, and all other similarly
situated individuals, under the West Virginia Wage Payment and Collection Act, W. Va. Code §
21-5-4, for all unpaid wages, plus attorney’s fees, litigation expenses, costs, and any other and
COUNT VI
Violation of the West Virginia Minimum Wage and Maximum Hours Standards for
Employees Act
W. Va. Code § 21-5C-1, et seq.
(On Behalf of Plaintiffs Sharon Simpson and Others Similarly Situated)
76. Plaintiffs re-allege and incorporate by reference the allegations set forth in the
preceding paragraphs.
77. West Virginia Code § 21-5C-3(a) provides that if employees work over forty hours
per week, the employer shall pay for hours in excess of forty “at a rate not less than one and one-
78. West Virginia Code § 21-5C-2(a)(6) provides that employers shall pay employees
79. Defendant violated West Virginia law by failing to pay the West Virginia Named
Plaintiffs and others similarly situated one and one half times their regular hourly rate for hours
80. Defendant violated West Virginia law by failing to pay Plaintiff Sharon Simpson
81. Plaintiff Sharon Simpson is an “employee” and Defendant is her “employer” under
82. Defendant’s violations of West Virginia law are repeated, knowingly, willful, and
intentional.
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83. Defendant is liable to Plaintiff Sharon Simpson and all other similarly situated
individuals, under the West Virginia Minimum Wage Act, W. Va. Code § 21-5C-1, for all unpaid
overtime, plus attorney’s fees, litigation expenses, costs, and any other and further relief this
WHEREFORE, Plaintiffs respectfully requests that the Court certify an FLSA collective action, a
class action pursuant to Virginia wage and hour law, a class action pursuant to West Virginia
wage and hour law, and enter judgment against Defendant on all counts, and grant Plaintiffs and
a. Unpaid wages, plus an equal amount as liquidated damages, pursuant to the FLSA, 29
U.S.C § 216;
b. Unpaid wages, plus an equal amount as liquidated damages, pursuant to the VWPL,
c. Unpaid wages, plus an equal amount as liquidated damages, pursuant to the VOWL,
d. Unpaid wages and interest thereon pursuant to the VMWA, Va. Code § 40.1-28.8 et
seq.;
e. Unpaid wages pursuant to the WVWPCL, and liquidated damages pursuant to the
WVWPCL for those individuals who are eligible for such damages, W. Va. Code §
21-5-1 et seq.;
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h. Reasonable attorneys’ fees and expenses incurred in the prosecution of this action;
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