(Reuters) –\u00a0Home Depot\u00a0(NYSE:HD) has agreed to pay $72.5 million to end a long-running class-action lawsuit alleging the largest U.S. home improvement retailer underpaid workers in California.<\/p>\n\n\n\n
The preliminary settlement was filed late Thursday in a San Francisco federal court, and requires a judge’s approval.<\/p>\n\n\n\n
Half of the settlement, after taking out legal fees and costs, goes to hourly employees who worked closing shifts and were required to wait off-the-clock after stores were locked.<\/p>\n\n\n\n
Another 41% goes to employees who were not paid for time needed to collect and put on aprons, and 9% goes to employees who lost pay because Home Depot rounded their clock-in and clock-out times to the nearest quarter hour.<\/p>\n\n\n\n
The settlement covers more than 272,000 people employed by Home Depot in California since March 8, 2012 and is “fair, reasonable and adequate,” the plaintiffs’ lawyers said.<\/p>\n\n\n\n
Home Depot denied wrongdoing, but settled to avoid the burden, cost and uncertainty of litigation, court papers show.<\/p>\n\n\n\n
The Atlanta-based retailer said on Friday that it was glad to settle, so it could focus on serving employees and customers.<\/p>\n\n\n\n
Lawyers for the plaintiffs did not immediately respond to requests for comment.<\/p>\n\n\n\n
The lawsuit began in March 2016, and a trial had been scheduled for this year.<\/p>\n\n\n\n
Lawyers for the plaintiffs plan to seek up to $24.2 million, or one-third of the settlement amount, for legal fees, plus up to $3.5 million for expenses.<\/p>\n\n\n\n
The case is Utne v Home Depot USA Inc, U.S. District Court, Northern District of California, No. 16-01854.<\/p>\n