Supervalu Settles $53.3-Million Albertsons Overtime Suit

MINNEAPOLIS -- Supervalu here said last week it has finalized an agreement with the U.S. District Court in Boise, Idaho, to pay up to $53.3 million to settle an 11-year-old lawsuit against Albertsons involving allegations of off-the-clock work and denial of overtime pay -- a case that was actually settled in 2000 but that has dragged on due to litigation over the claims process. Supervalu acquired the best-performing divisions of Boise, Idaho-based Albertsons last June. Under terms of the settlement, more than 7,000 current and former Albertsons employees will receive an average of about $7,000 each. The settlement stems from 10 federal and state lawsuits filed between March 1996 and October 1997 that were ultimately consolidated into a single class action. In a statement, Supervalu said, "As we work to build a best-in-class organization, [we] believe it is in the best interests of the company and our associates to reach agreement on all these claims. Supervalu is committed to full compliance with all laws governing the workplace. We expect that all associates will be fully paid for all work performed and that no work will be performed off the clock." As part of the settlement, Supervalu also agreed to pay up to $6.5 million in attorney's fees. -- Elliot Zwiebach