Falcon v. Starbucks Corp.
Plaintiff Falcon, a former Assistant Store Manager for Starbucks, filed a collective action under the FLSA, alleging Starbucks failed to pay overtime wages to Assistant Store Managers (ASMs). The Court initially granted conditional class certification, leading 355 ASMs to opt into the lawsuit. Defendants moved to decertify the collective action, arguing that the plaintiffs were not similarly situated, defenses were individualized, and the action would be unmanageable. The Court denied the motion, finding that the opt-in plaintiffs were similarly situated due to common job titles, descriptions, pay provisions, and a pervasive environment created by Starbucks' policies that incentivized off-the-clock work and time shaving. The Court also concluded that individualized defenses could be addressed through representative testimony and that fairness considerations favored maintaining the collective action, upholding the remedial purposes of the FLSA.