Federal Judge Approves $4.4M Settlement in Travel Nurses’ Overtime and Pay Cut Lawsuit

A federal judge has approved a $4.4 million class action settlement resolving claims brought by travel nurses against healthcare staffing firm NuWest Group Holdings. U.S. District Judge Ricardo Martinez signed off on the agreement Tuesday, calling it “fair, reasonable and adequate,” and bringing an end to litigation that began in 2022. The nurses alleged NuWest cut their pay mid-contract and misclassified portions of their compensation to avoid paying overtime wages.

The settlement covers approximately 2,300 travel nurses seeking unpaid overtime under the Fair Labor Standards Act. The average settlement check is about $980, with the highest payout exceeding $9,000. More than 400 nurses also submitted claims alleging their wages were reduced mid-assignment; 123 nurses with supporting documentation will receive roughly $3,000 each, while the remaining claimants will receive about $140. The 12 named plaintiffs will each receive $5,000, and attorneys’ fees and costs total around $1.5 million.

One named plaintiff, Dana McDermott, said her pay was cut one month into a four-month assignment, including an 81% reduction in her weekly stipend and a 6% decrease in base pay. Judge Martinez noted the settlement met all legal requirements and treated class members equitably, finally closing the case after a brief procedural delay. NuWest did not respond to requests for comment.


This blog is intended to provide information to the general public and to practitioners about developments that may impact Oregon class actions.

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Steve Larson

An experienced trial lawyer who handles both hourly and contingent fee cases, Steve has expertise in class actions, environmental clean-up litigation, antitrust litigation, securities litigation, corporate disputes, intellectual property disputes, unfair competition claims, and disputes involving family wealth. Steve regularly represents individuals and businesses in federal and state court and has obtained class-wide recovery in multiple class actions. A veteran practitioner, Steve’s clients value his creative approach to resolving complex litigation matters.

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