T-MOBILE TECHNICIAN Olvin Gomez is the lead plaintiff in a lawsuit alleging that T-Mobile pays him his regular rate of $41 per hour and compensates him for overtime at $61.50. However, he states that his on-call rate is $30, and the carrier’s calculating overtime using the on-call rate at $45 results in underpayment. The plaintiff asserts that this practice does not align with the FLSA’s requirements, which mandate that on-call payments be included in the regular pay rate when determining overtime rates.
T-Mobile USA, Inc., is facing a collective action lawsuit filed in the United States District Court for the Western District of Washington, alleging Fair Labor Standards Act (FLSA) violations. The lawsuit, initiated by plaintiff Olvin Gomez from Palm Beach County, Florida, represents himself and similarly situated employees and claims that T-Mobile failed to calculate and pay the correct overtime rates as mandated by federal law.
Filed on September 13, 2024, the complaint alleges that T-Mobile’s practices have led to the miscalculation of overtime pay for non-exempt hourly workers. Specifically, the lawsuit points to how T-Mobile handled “on-call” premium pay of $30, which the company treated as a standalone hour of work for overtime calculations rather than incorporating it into the employee’s regular pay rate as required by federal regulations.
Gomez, who has worked as a Senior Technician for T-Mobile in Riviera Beach, Florida, since 2014, is paid at a regular rate of $41 per hour. According to the complaint, T-Mobile’s overtime calculation based on a $30 on-call rate resulted in underpayment. The plaintiff asserts that this practice does not align with the FLSA’s requirements, which mandate that on-call payments be included in the regular pay rate when determining overtime rates.
For instance, if an employee works 50 hours in a week, the lawsuit contends that the overtime rate should be based on the regular rate, which includes on-call pay, rather than a separate, lower on-call rate. By treating the $30 on-call payment as an individual rate, T-Mobile allegedly reduced the overtime rate to $45 per hour instead of the correct rate of $61.50 per hour. This miscalculation results in a significant underpayment for employees.
The lawsuit further alleges that this practice has been systematically applied to thousands of T-Mobile employees nationwide. It seeks to recover unpaid overtime wages, liquidated damages, attorneys’ fees, and costs for all affected employees. The action aims to include all current and former non-exempt, full-time hourly employees of T-Mobile who received on-call pay within the past three years.
Gomez’s attorneys argue that T-Mobile knowingly disregarded federal regulations and did not act in good faith compliance with the FLSA. They claim that the company controls its employees’ employment terms and pay practices and, therefore, is responsible for ensuring compliance with wage and hour laws.
The collective action, filed under Section 216(b) of the FLSA, challenges T-Mobile’s compensation practices and seeks to secure total compensation for unpaid and miscalculated overtime for employees across the United States.
