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Federal Court Rejects “Employer Knowledge” Defense in Arizona Wage Act Claims

Wage & Hour Developments

Federal Court Rejects “Employer Knowledge” Defense in Arizona Wage Act Claims

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A federal court in Arizona recently rejected a defense for Arizona employers seeking to avoid liability for unpaid wages under the Arizona Wage Act. In Arrison v. Walmart, the district court held that there is no "employer knowledge" requirement under the AWA, rejecting Walmart's attempt to defeat an unpaid wages class action against the company by arguing that it did not know or have reason to believe that its employees were working following a pre-shift COVID-19 screening.

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Wage & Hour Developments

The regulatory landscape, appetite for administrative agency enforcement, and judicial interpretations related to wage-and-hour issues are rapidly evolving. Our blog is a one-stop resource for federal- and state-level updates and analysis on wage-and-hour-related developments affecting employers.

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