University of Iowa Hospitals settles lawsuit with employees

DES MOINES, Iowa (AP) — University of Iowa Hospitals and Clinics employees who say they were improperly paid overtime and other payments will be awarded $15 million as part of a class-action lawsuit filed in 2019, according to documents Friday. they get

The health system and about 11,000 workers alleged that managers did not pay overtime, bonuses or accrued vacation as required by state and federal law.

Attorneys for the employees said the settlement figure could be as high as $64 million. However, they were concerned that a higher court could reduce that amount to $11 million after attorneys for the Iowa Board of Supervisors threatened to appeal the judge’s partial summary judgment. The Des Moines Register reported.

Based on that outlook, attorneys for the class members said in the filing that they are “confident that they have obtained a favorable outcome with the settlement.”

The six employees who led the trial will receive 10,000 dollars each. The other employees will each receive a share of the remaining $11.6 million, based on how many payments the employees allegedly received from the hospital later than allowed by law. Lawyers take home $3.4 million.

A spokesman for the Board of Commissioners did not immediately return an email for comment.

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