It’s been three years of vigorous defense but Wal-Mart Stores Inc. agreed to settle a federal class-action lawsuit involving more than 13,500 employees who alleged the retailer’s interference in how worker compensation claims were paid for on-the-job accidents.
U.S. District Judge Robert Blackburn in Denver approved the $4 million settlement from Wal-Mart and $4 million from co-defendant Claims Management Inc. on Tuesday (Nov. 13). The court also ordered four years of injunctive relief where Wal-Mart and CMI agreed to provide training for its workers compensation adjustors.
The case — Josephine Gianzero v. Wal-Mart Stores Inc. — also involved American Home Assurance Co. and Concentra Health Services in Colorado as co-defendants.
Concentra’s insurer, Lexington Insurance, agreed to pay another $4 million to settle the case.
The defendants each denied all allegations of wrongdoing.
Wal-Mart operates numerous retail stores in Colorado and American Home Assurance provides the company’s workers compensation insurance. Concentra operates medical facilities where Wal-Mart employees received treatment.
The approved settlement allows for $520 payments to more than 13,500 plaintiffs who were treated at a Concentra facility and $50 to those treated at other facilities.
Wal-Mart released the following statement regarding to the settlement:
“The health, safety, and well being of our associates are important to (Wal-Mart). If associates are injured at work, we and CMI are committed to making available the best treatment and care, so that they can get better. It is up to the doctors to determine the best course of treatment for each person.”