Cognizant has reached an agreement to pay 5.7 Million to compensate for underpaid overtime hours.
Debi Mishra, an Ex-Cognizant employee, received a letter in 2012 saying that his position is overtime-eligible and indicated to earn “no less than US$62,100,” and that the bonus would be added to keep his annual income at this number.
However, Mishra received a much lower amount then said in the above letter; he consulted an expert economist to review and analyze it.
According to the economist’s calculations, the total potential damages for all employees were $11 Million.
Cognizant disputed this analysis and said – work was not done over time instead of recorded overtime as a means of more evenly spread pay.
Mishra filed the complaint on August 25, 2017.
The latest settlement agreement by the US court requires Cognizant to pay about half of the potential damages. Most of this amount will be divided among class members affected by this.