Canadian Manufacturing

Judge certifies class action lawsuit against Canada Cartage

A lawsuit brought by about 7,800 current and former employees alleges the shipping company didn't pay overtime

TORONTO—Ontario Superior Court of Justice has certified a national class action lawsuit against Mississauga, Ont.-based shipping and logistics company Canada Cartage over unpaid overtime.

The suit names Canada Cartage Diversified GP Inc., Direct General Partner Corp., and Canada Cartage System, Ltd., and was certified January 30, 2015.

Canada Cartage is a trucking, warehousing, distribution and logistics services company with operations across Canada. Direct Distribution Centres is the warehousing division of Canada Cartage, also with locations across Canada.

The certification decision, available here, is a judicial determination that this case is an appropriate case to proceed as a class action.

The case covers approximately 7,800 current and former Canada Cartage employees who worked at the company since March 1, 2006.

The suit alleges that Canada Cartage had a policy or practice of avoiding or disregarding its overtime obligations to employees represented in the lawsuit, which was commenced in November 2013. The suit alleges that Canada Cartage reduced pay rates and “reverse engineered” compensation to make it appear that employees were being paid overtime when in fact their weekly earnings remained unchanged.

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