OBI and Ocean Beauty Settlement: $2.1 Million in Class-Action Wage Lawsuit
U.S.-based seafood-processing companies, OBI Seafoods and Ocean Beauty Seafoods, have reached a settlement agreement in a class-action lawsuit regarding late payment and underpayment of employees during Covid-19 quarantines. The settlement, approved on December 5th by U.S. District Judge Marsha J. Pechman, requires OBI and Ocean Beauty to pay a total of USD 2.1 million to class-action members, including USD 10,000 each to the plaintiffs, Marija and Dusan Paunovic. Additional costs for administration and attorneys’ fees are also included in the settlement.
OBI CEO, John Hanrahan, refrained from discussing specific details of the settlement, but emphasized that OBI Seafoods values its employees and adheres to all wage laws and regulations. He stated that OBI workers in Naknek, Alaska, including those under H-2B visas and the involved plaintiffs, were compensated with a daily stipend and provided with housing, meals, and laundry services during the mandatory quarantine period before the 2020 salmon season.
Hanrahan affirmed that OBI Seafoods believes it followed all state and federal employment laws and regulations. The company’s commitment to compliance and fair treatment of employees remains a top priority.
