Hy-Vee Inc. Faces Class-Action Lawsuit Over Alleged Overtime Pay Violations for Department Managers
A class-action lawsuit has been filed against Hy-Vee Inc., accusing the grocery store chain of violating federal labor laws by not paying overtime to department managers. The lawsuit, filed in U.S. District Court for the Southern District of Iowa on behalf of former employee Dawn Nicosia and other Hy-Vee workers, aims to recover unpaid overtime wages, penalties, and interest under the Fair Labor Standards Act. Hy-Vee, with over 240 retail stores in the Midwest, denies the allegations and plans to address them legally.
The lawsuit claims that salaried department manager positions at Hy-Vee, below store director levels, are structured to avoid paying overtime. These positions include bakery, food service, meat, and produce department managers, as well as trainee-level managers. Nicosia, a former bakery manager at a Hy-Vee store in Peoria, Illinois, allegedly worked over 40 hours per week without receiving overtime pay during her employment from January 2024 to May 2025.
According to the lawsuit, Hy-Vee department managers are required to work a minimum of 45 hours per week but perform tasks that do not align with typical overtime-exempt managerial roles. They are said to spend more than half their time on manual labor and physical activities, lacking significant managerial responsibilities. The lawsuit alleges that Hy-Vee's cost-cutting practices have led to violations of wage-and-hour laws at the state and federal levels, with claims of willful disregard for prior complaints from salaried department managers.
The lawsuit seeks class action status due to the large number of potential plaintiffs affected by the alleged violations, making individual litigation impractical. The plaintiff is represented by Madison Fiedler-Carlson of the Fiedler Law Firm in Johnston and Bethany A. Hilbert of the Head Law Firm in Chicago, Illinois.
In conclusion, the lawsuit against Hy-Vee Inc. raises concerns about the treatment of department managers regarding overtime pay and compliance with labor laws. The legal process will determine the validity of the allegations and the potential impact on current and former employees of the grocery store chain.