Avery v. TEKsystems, Inc.

District Court, N.D. California·Decided February 13, 2024·No. 3:22-cv-02733·Unknown

Opinion

BO AVERY, et al., Case No. 3:22-cv-02733-JSC

Plaintiffs, ORDER RE: PLAINTIFFS’ MOTION v. TO CERTIFY CLASS

TEKSYSTEMS, INC., Re: Dkt. No. 63 Defendant.

Bo Avery, Phoebe Rodgers, Kristy Camilleri, and Jill Unverferth all worked as Recruiters for TEKsystems, Inc. (“TEK”), an IT staffing company. Plaintiffs allege TEK improperly classifies Plaintiffs and other Recruiters as exempt from California overtime, wage, and hour laws and therefore illegally underpays Recruiters. Now pending before the Court is Plaintiffs’ motion to certify a class of all current and former Recruiters employed by TEK from January 28, 2018 to the final date of judgment and a subclass of all the class members who worked for TEK on or after January 28, 2019 and are no longer employed by TEK and have not been employed by TEK for more than 72 hours. (Dkt. No. 63.)1 Having carefully considered the briefing, and with the benefit of oral argument on February 8, 2024, the Court certifies the class and subclass and appoints Plaintiffs’ counsel as class counsel. Plaintiffs provide sufficient evidence for each requirement of Federal Rule of Civil Procedure 23. TEK classifies all Recruiters as exempt from overtime and other wage and hour laws, all Recruiters perform the same basic job duty, all work under similar supervision, and all exercise similar amounts of independence and discretion. TEK is an Information Technology “IT” staffing services company. (Dkt. No. 68-2 at 3.) TEK provides “staff augmentation” services, in which TEK finds “a worker,” known as a consultant, “to go work for a client” at the client’s office, either virtually or in person. (Id. at 4-5, 20.) Nearly all TEK’s employees are involved in “recruiting job positions” meaning they “identify potential candidates who meet the requirements for an open position”—indeed, TEK has 46 job titles for recruiting positions in California. (Dkt. No. 64-1 at 6-7.) These job titles include “Lead Recruiter,” “Lead Professional Recruiter,” “Lead Senior Recruiter,” “Professional Recruiter,” “Recruiter II,” “Recruiting Lead,” “Account Recruiting Manager,” “Team Lead,” “Recruiter Trainee,” and “Recruiter.” (Id.) Except for Recruiter Trainees, TEK classifies all of its Recruiter job titles as exempt. (Id. at 9.) “Employees remain in the position of Recruiter Trainee until they have completed all required training and demonstrated their ability to perform the job titles of Recruiter.” (Id.) Plaintiffs seek to certify a class and subclass consisting of only one of those job titles: Recruiter. Recruiters “find people for jobs” for staff augmentation. (Id. at 4, 321.) Essentially, Recruiters screen possible consultants to find those who match the provided job requirements. ((Dkt. No. 64-5 at 32 (Recruiters “[s]creen[] consultants to gain insights into their skills, goals, interests and provide[] aligned opportunities”); 48 (same); 72 (same); 96 (same); 127 (same).) Account Managers decide whether to approve Recruiters’ chosen candidates. “Account Managers are responsible for maintaining relationships with TEK’s clients.” (Dkt. No. 68-6 ¶ 8.) Though Recruiters sometimes join the initial call with the client to learn about job openings, Account Managers generally create the “requirement,” or “a description of a role that one of [TEK’s] customers needs to fill.” (Dkt. Nos. 64-1 at 183-184; 68-4 ¶ 7.) Recruiters then find candidates who match that “requirement,” and present those candidates to the Account Manager. (Dkt. No. 64-1 at 56.) The Account Manager decides whether to present that candidate to the client. (Dkt Nos. 68-5 ¶ 29; 68-7 ¶¶ 9, 23; 68-10 ¶ 19; 68-13 ¶ 17; 68-17 ¶ 19.) The client then decides whether to interview the candidate. (Dkt. Nos. 64-1 at 625; 68-4 at ¶ 14; 68-9 ¶ 16.) If preparation for that interview. (Dkt. Nos. 64-1 at 429, 623; 68-9 ¶ 16l; 68-10 ¶ 20.) If the client hires the candidate (now called a “consultant”), TEK encourages Recruiters to check-in with that consultant around once a month to see how the consultant is doing at the job. (Dkt. Nos. 64-1 at 1029; 68-10 ¶ 22; 68-9 ¶ 17.) Recruiters may also relay information to consultants or even inform consultants they are fired from a position, though Recruiters do not play a role in hiring or firing decisions. (Dkt. Nos. 64-1 at 1029; 68-4 (“I had to fire a consultant . . . While I am not the decision maker, I am the messenger.”) The Recruiter position is an entry level role.2 (Dkt. No. 64-4 at 154 (TEK’s “Recruiter Interview Guide Job Aid” describing the Recruiter position as “an entry level role”), 278 (explaining most Recruiters are hired straight out of college and describing them as “Entry Level College Grads”).) Recruiters are not required to have any sort of technical knowledge to be hired. (Dkt. No. 64-1 at 157.) The average tenure of an employee who works as a Recruiter in California is 1.21 years. (Id. at 986.) All Recruiters’ performance is measured according to the same standards. TEK monitors Recruiters according to “numerous metrics” including required weekly numbers of “G2s,” or informational calls with candidates, “reference checks, meetings or meals with candidates, and the number of candidates that Account Managers submitted to a TEKsystems client.” (Dkt. No. 64-1 at 1027, 1036. 1044, 1052, 1061, 1069, 1077.) The required numbers “were the same in every branch in TEKsystems for recruiters.” (Id. at 170.) Supervisors closely tracked Recruiters’ “spread”—or the net profit from each successfully placed consultant, indicating the difference between what TEK bills the customer and what TEK pays, including the consultant’s salary and the costs associated with finding the consultant for the position—and in some cases displayed spread amounts in the office “from best to worst for everyone to see.” (Id. at 1027, 1036, 1052, 1061, 1069, 1077.) TEK’s internal database allows for Recruiters’ supervisors to see metrics such

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Avery v. TEKsystems, Inc., (N.D. Cal. 2024).

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