Did Wells Fargo Misclassify Senior Premier Bankers and Deny Overtime Pay?
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A high-profile overtime case in federal court alleges Wells Fargo misclassified thousands of “Senior Premier Bankers” as exempt from overtime—despite day-to-day duties that looked more like frontline sales and service. The lawsuit has moved toward resolution with a multi-state settlement valued at $48.5 million, signaling the cost of classification mistakes when they scale across a large workforce.
Case: Sabrina Perez v. Wells Fargo
Court: United States District Court, Central District of California
Case No.: 24-cv-4077-SRM
The Plaintiff: Sabrina Perez (on behalf of a class of Senior Premier Bankers)
Senior Premier Banker Sabrina Perez filed a federal complaint in Los Angeles alleging she and other SPBs were misclassified as exempt and denied overtime pay. According to the complaint, SPBs routinely performed non-exempt tasks—opening and closing accounts, assisting customers, and selling banking products—while branches were allegedly understaffed, pushing hours well beyond 40 per week without overtime. Perez sought to represent a class and collective of similarly situated SPBs (including Premier Banker roles with similar titles).
The Defendant: Wells Fargo
Wells Fargo denies liability, but the case evolved quickly. Plaintiffs filed a motion on September 4, 2025, asking the court to give the $48,500,000 class settlement preliminary approval. If approved, the settlement would cover approximately 4,230 class members and related fees and costs, with an estimated average recovery of about $7,137 per person. Plaintiffs also alleged meal and rest break violations and brought a claim for civil penalties under California’s Private Attorneys General Act (PAGA). Reports indicate the company has since reclassified SPBs to hourly, non-exempt status, which, if accurate, means overtime must be paid going forward.
A History of the Case: Allegations, Multi-State Scope, and Settlement
The complaint alleged violations of the Fair Labor Standards Act (FLSA) and parallel state wage laws (including California and Colorado), focusing on two themes:
Misclassification: SPBs were treated as exempt despite primarily providing customer service and sales support—tasks typically non-exempt.
Systemic overtime exposure: Chronic understaffing allegedly led to regular unpaid overtime, along with missed meal and rest breaks.
The proposed settlement covers these job titles during defined periods:
California: March 27, 2020, through the Release Date*
Colorado: February 2, 2021, through the Release Date*
All other states: February 22, 2021, through the Release Date*
*“Release Date” as defined in the settlement papers.
On September 4, 2025, plaintiffs sought preliminary approval. If granted, the court would authorize notice to the class and set a hearing for final approval. According to case updates provided, class members would be notified by mail and email.
The Main Question Being Considered: Were SPBs Exempt—or Entitled to Overtime?
The core legal question is whether Senior Premier Bankers qualify for any white-collar exemption (executive, administrative, or professional). In wage cases, titles don’t decide exemption—actual duties do. Where employees primarily provide customer service, follow scripts, and sell standardized products (instead of exercising substantial discretion on significant business matters), courts frequently find non-exempt status and require overtime for hours worked over 40 in a week (or daily thresholds under California law).
Here, the complaint framed SPB duties as routine and production-oriented—not policy-making or independently discretionary; undercutting exemption defenses and supporting overtime claims under federal and state law.
Why This Matters to California Workers
California has some of the nation’s strictest wage and hour protections, including:
Daily overtime after 8 hours/day (and after 40 hours/week),
Meal and rest break requirements, and
Detailed wage statement obligations.
Misclassification disputes often arise in customer-facing banking, sales, and service roles where job titles sound managerial, but the day-to-day work is standardized and closely directed. This case underscores a practical takeaway for California employees: if your primary duties are sales support and service—and you don’t truly manage people or exercise independent judgment on matters of significance—you may be non-exempt and owed overtime.
FAQ: Sabrina Perez v. Wells Fargo
Q: What laws are at issue in this case?
A: The case alleges violations of the FLSA and state wage laws (including California and Colorado). In California, related claims typically implicate Labor Code sections governing overtime, meal and rest breaks, and wage statements, and may include a PAGA claim for civil penalties.
Q: What is the status of the case?
A: Plaintiffs filed a motion for preliminary approval of a $48.5 million settlement on September 4, 2025. If the court grants preliminary approval, notice will be issued to class members, and a hearing for final approval will follow.
Q: Who is included in the proposed settlement?
A: According to the case updates provided, approximately 4,230 class members in defined SPB/Premier Banker roles are covered for work periods beginning in 2020–2021 through the Release Date (varying by state), with an estimated average payment of $7,137 per person (subject to court approval and settlement administration).
Q: Does reclassifying employees fix past wage issues?
A: Reclassification affects future pay practices. Past claims for unpaid overtime, missed breaks, or penalties are typically addressed through settlements or judgments and are not cured by a forward-looking policy change.
If you believe your employer misclassified your role or failed to pay overtime, the experienced employment law attorneys at Blumenthal Nordrehaug Bhowmik DeBlouw LLP can help at offices in Los Angeles, San Diego, San Francisco, Sacramento, Riverside, and Chicago. Contact our office to discuss your situation and learn about your options for recovering unpaid wages and penalties under California law.
