is expected to pay $12 million to settle allegations that the wirehouse brokerage firm failed to pay client associates proper overtime.
A notice was sent out on Friday to former and current client associates who worked to support investor accounts for Merrill Lynch’s financial advisors between January 2010 and December 2012.
Lead plaintiff Nancy Martignago filed the class action suit against Merrill Lynch and its parent, Bank of America, in June 2011 alleging thefirm violated the Fair Labor Standards Act. Specifically, Merrill failed to adequately pay client associates overtime compensation, according to the complaint.
In February, the proposed class of client associates and Merrill reached a $12 million settlement agreement, which a New York federal judge preliminarily approved in April, noting the class could be as numerous as 12,000 current and former employees.
A fairness hearing to determine final approval of the settlement is set for Oct. 3, 2013. Eligible client associates interested in participating should visit www.merrillcaovertimesuit.com for more information.