Settlement reached in the GoodLife class action
Parties settle GoodLife unpaid wages class action
The parties have reached a settlement in the proposed unpaid wages class action, Eklund v. GoodLife Fitness Centres Inc. Pursuant to the settlement, GoodLife will pay $7.5 million to the class members, plus the cost of mediation and $1 million for class counsel’s legal fees. The settlement is subject to court approval, with the judicial approval hearing scheduled for June 20, 2018.
The proposed class action was launched in October 2016 and expanded nation-wide in January 2017. GoodLife subsequently made significant changes to its payment policies and practices, including scheduling paid prospecting hours for personal trainers and removing the claw-back of their commission, payment for preparation and administrative tasks of personal trainers that were previously unpaid, providing lieu time at the required time and a half instead of straight time for club opening specialists (together with some retroactive compensation), and implementing a new record-keeping system.
“I’m proud of what this case and this settlement have achieved for GoodLife employees,” said representative plaintiff Carrie Eklund. “I started this class action because I believed GoodLife employees deserved to be paid for all of their hard work, and the changes this claim encouraged and the settlement money to be paid to the class go a long way towards that goal.”
“This settlement puts millions of dollars into the pockets of current and former GoodLife employees, and the changes encouraged by this class action will mean millions more in wages for current and future employees each year going forward,” said Josh Mandryk, one of the lawyers for the Plaintiff. “We believe this is a great outcome for the Class, and we look forward to the settlement approval motion.”
“This settlement sends a strong message to the employer community that all work must be paid,” added co-counsel Christine Davies. “We are proud of what Carrie and the class have achieved.”
The proposed class includes current and former non-managerial GoodLife employees in the provinces of Ontario, British Columbia, Alberta, Saskatchewan, Manitoba, New Brunswick, Newfoundland, Nova Scotia, and Prince Edward Island, for the period dating October 12, 2014 to the date the certification is granted. It does not include those employed at Fit4Less or franchise clubs, or personal trainers at GoodLife clubs in Toronto, Ajax, and Peterborough for the period from December 5, 2017 and ongoing.