University of Iowa Hospital Employees to Receive $15M in Class-Action Settlement
The Board of Regents has agreed to pay $15 million to settle a class-action lawsuit with current and former University of Iowa Hospitals & Clinics employees.
The healthcare system and about 11,000 workers have been engaged in a legal fight since 2019, when employees alleged that managers didn’t pay overtime, bonuses or accrued leave as quickly as state and federal laws require. U.S. District Court Judge Stephanie Rose granted part of the workers’ motion for summary judgment in March, but attorneys for the Board of Regents raised the specter of appealing that ruling.
In a motion asking the judge to approve a settlement filed Friday, lawyers for the employees wrote that their side could have won $64 million. But they added that they believed a higher court could have overturned a significant portion of the workers’ claim, reducing the amount owed to $11 million.
