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Aon pays $10.5 million to settle wage-and-hour lawsuit

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LOS ANGELES—A state judge has approved a $10.5 million class action settlement in a wage-and-hour lawsuit involving Aon Corp. units in California that were accused of misclassifying more than 500 employees.

The litigation was filed in 2007 by Aon employee Francisco Hoyng, who was replaced as the lead plaintiff about a year later by Robert Zajac.

Overtime, breaks at issue

The class action accused the Aon units of misclassifying as exempt from overtime and meal and rest break requirements employees who held one of several titles: account specialist, senior account specialist, relationship specialist, account manager, client specialist, client services representative and/or customer service representative.

A Los Angeles Superior Court judge approved the $10.5 million settlement of the suit involving the Chicago-based brokerage on Tuesday. The class action was certified last year, according to the settlement agreement.

The settlement applies to 534 class members, according to Agoura Hills-based law firm Martin & Saltzman L.L.P., which represented them.

As part of the settlement agreement, Aon denied any liability or wrongdoing, according to the settlement agreement. An Aon spokeswoman had no comment.

Wage-and-hour suits have become a significant problem for employers in recent years, resulting in numerous costly settlements every year.