Groundbreaking Union Community Coalition Agreement Approved by Court

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June 29, 2022

On June 22, 2022, the Honorable Theresa M. Traber of the Superior Court of the State of California, County of Los Angeles, approved a settlement resolving a 2018 lawsuit against bus manufacturer New Flyer of America Inc. Robbins Geller Rudman & Dowd LLP partner Rachel L. Jensen served as co-lead trial counsel for qui tam plaintiff Jobs to Move America, a nonprofit labor policy center.

Jobs to Move America filed a lawsuit on behalf of the State of California and the Los Angeles County Metropolitan Transportation Authority alleging inaccurate reporting of New Flyer’s job creation and worker benefits under a “U.S. Employment Plan” in a $500 million bus-purchase contract with LA Metro.

“‘This case is an important marker for labor and manufacturing companies across the country. It shows it isn’t a zero-sum game,’” Jensen told The Washington Post when the settlement was announced. “‘When we invest in quality jobs, fairness and dignity, everyone wins big.’”

As part of the settlement agreement, New Flyer entered into a multi-state community benefits agreement that covers factories in Anniston, Alabama and Ontario, California and commits to new workforce programs, increased diversity in hiring and promotion, and allows a community organization to assist with harassment or discrimination complaints. New Flyer also agreed to a $7 million settlement fund and enhanced reporting for any future contract with LA Metro with a U.S. Employment Plan. New Flyer does not admit any unlawful conduct or wrongdoing as part of the settlement.

The parties first announced the settlement agreement in May 2022.

The full Washington Post article is available here: https://www.washingtonpost.com/transportation/2022/05/26/new-flyer-benefits-bus-equity/.

About Robbins Geller

Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex litigation firms, representing plaintiffs in securities fraud, shareholder derivative, antitrust, corporate takeover, and consumer fraud and privacy cases. With 200 lawyers in 9 offices, Robbins Geller is one of the world’s largest plaintiffs’ firms, and the Firm’s attorneys have obtained many of the largest securities, antitrust, and consumer class action recoveries in history.

The Firm is ranked #1 on the 2021 ISS Securities Class Action Services Top 50 Report for recovering nearly $2 billion for investors last year alone – more than triple the amount recovered by any other plaintiffs’ firm. The Firm secured the largest-ever securities fraud class action settlement — $7.2 billion — in In re Enron Corp. Securities Litigation.

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