Major League Baseball has agreed on an amount to settle the class action lawsuit filed on behalf of Minor League Baseball and alleged violations of minimum wage laws.
The case progressed through federal courts for eight years without reaching trial, but after MLB agreed to settle in early May, the total amount was finally agreed upon.
The deal was filed on Friday with the U.S. District Court in San Francisco, via Ronald Blum of Associated Press:
Major League Baseball agreed to pay minor leaguers $185 million to settle a federal lawsuit alleging violations of minimum wage laws, a case that progressed through the courts for eight years without reaching a trial.
The deal must receive the green light from the courts prior to going into effect, but the near decade-long battle is near its end.
If approved, $120,197,300 will be split among the players, $55.5 million will go the the players’ lawyers and up to $5.5 million will cover reimbursement costs of the suit. Also, $450,000 will be for the costs of administering the settlement, $637,000 will go to incentive awards for the player representatives in the suit, $400,000 for a contingency fund and $2,315,000 for a payment under the California Private Attorney General Act, which allows penalties for violating state labor code.
The proposed settlement also includes an agreement from MLB to allow clubs to provide wages to minor leaguers outside of the season. Teams must also follow state labor laws within Arizona an Florida during Spring Training, extended spring, instructional leagues, and championship seasons.
Origin of lawsuit
Originally filed in 2014 by Marlins 2009 10th round pick, Aaron Senne, and two other players, they alleged teams violated the federal Fair Labor Standards Act and multiple state labor laws due to 50 to 60 hours in their respective work weeks.
The basis of the lawsuit brought forth by the Weil, Gotshal & Manges firm on behalf of plaintiffs Staten Island Yankees, Tri-City Valley Cats, Salem-Keizer Volcanoes, and Norwich Sea Unicorns stems from MLB taking control of Minor League teams.
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