THOMAS v. TEKSYSTEMS, INC.

District Court, W.D. Pennsylvania·Decided March 10, 2025·No. 2:21-cv-00460·Unknown

Opinion

IN THE UNITED STATES DISTRICT COURT FOR THE WESTERN DISTRICT OF PENNSYLVANIA

MICHAEL THOMAS, et al, Plaintiffs, Civil Action No. 2:21-cv-460 V. Hon. William S. Stickman IV TEKSYSTEMS, INC., Defendant.

MEMORANDUM OPINION WILLIAM S. STICKMAN IV, United States District Judge Plaintiffs Michael Thomas (“Thomas”), Maria Conyers-Jordan (“Conyers-Jordan”), Austin Sherman (“Sherman”), Lynda Alexandra Maher (“Maher”), Ava Doré (“Doré”), Rachel Richenberg (“Richenberg”), and Emily Burke (“Burke”) (collectively “Plaintiffs”), on behalf of themselves and all other persons similarly situated, filed this action against Defendant TEKsystems, Inc. (““TEK”). (ECF No. 52). Plaintiffs’ claims against TEK arise under the Fair Labor Standards Act (“FLSA”), 29 U.S.C. § 201, et seq., for TEK’s alleged failure to pay Plaintiffs and other similarly situated employees overtime wages. Ud § 1). Additionally, (1) Thomas and Conyers-Jordan bring a claim against TEK under the Pennsylvania Minimum Wage Act (““PMWA”), 43 P.S. §§ 333.101, et seg. for TEK’s failure to pay them and other similarly situated employees overtime wages; (2) Doré brings claims against TEK under Washington state law for TEK’s failure to pay her and other similarly situated employees overtime wages, meal and rest breaks, and related penalties; (3) Richenberg brings claims against TEK under New York state law for TEK’s failure to pay her and other similarly situated employees overtime wages, as well as for failure to provide her and similarly situated employees with statutorily required wage notices and

wage statements, and related penalties; and (4) Burke brings a claim against TEK under Massachusetts state law for TEK’s failure to pay her and other similarly situated employees overtime wages. (Ud. § 142-47). After the close of discovery, Plaintiffs filed a motion seeking final FLSA collective action certification (ECF No. 141) and a supporting brief (ECF No. 142). Plaintiffs also filed a motion to certify four state law classes under Federal Rule of Civil Procedure 23(b)(3) (“Rule 23”) (ECF No. 144) and a supporting brief (ECF No. 145). For the following reasons, the Court will grant Plaintiffs’ motions to certify their FLSA collective action and to certify their four proposed state law class actions in accordance with Rules 23(a) and (b)(3). □ I. FACTUAL AND PROCEDURAL BACKGROUND TEK describes itself as “a global business and technology firm” that assists its clients in -achieving their “business goals” through “staff augmentation” (“placing workers with specific skills on assignment at customer companies for a certain period of time”). (ECF No. 158, p. 12). This involves assembling teams of employees for customers who need a larger or more specialized workforce for a project. (/d.). TEK has two client bases — customers (companies that TEK works with to help them build staffing) and candidates or consultants who TEK works with to place with its customers. (ECF No. 60-6, pp. 23-24). At the core of all of TEK’s services are its recruiters (“Recruiters”). Recruiters identify potential candidates who meet the requirements for an open position with one of TEK’s customers. (ECF No. 142, pp. 9-10); (ECF No. 155, pp. 11-12). Recruiters locate candidates to be placed with TEK customers. (ECF No. 143-68, p. 4). Recruiters screen candidates to gain insights into their skills, goals, interests, and provide aligned career opportunities. Jd. When Recruiters begin with TEK, they are classified as Recruiter Trainees. (ECF No. 156-14, p. 13). Employees remain in the position of Recruiter Trainee until they have

completed all the required training and demonstrate their ability to perform the duties of a Recruiter. (/d.). Recruiter Trainees are paid overtime wages if they work over 40 hours per week. (id.). On the other hand, TEK classifies Recruiters as exempt from state and federal overtime wage requirements. (ECF No. 55, p. 4). Thus, TEK does not pay Recruiters overtime wages when they work over 40 hours in a workweek. (/d.). TEK also employs account managers (“AMs”). AMs primarily work directly with TEK’s customers to understand and outline the customer’s hiring needs. (ECF No. 155, p. 15); (ECF No. 142, p. 12); (ECF No. 143-3, p. 36). In contrast, Recruiters are primarily responsible for locating candidates who meet the requirements for an open position. (ECF No. 157-13, p. 4). Recruiters present their proposed candidates to their AMs. (ECF No. 143-3, p. 20). AMs ultimately decide which candidates to present to TEK’s customers. (Ud. (“From a [R]Jecruiter perspective, we consistently remain in communication with the consultant while our [AMs] remain in consistent communication with the customers.”)). The parties dispute the role of Recruiters and TEK’s expectations of Recruiters. Plaintiffs contend that Recruiters work in a “producing role.” (ECF No. 142, p. 10.). They assert that “Recruiters’ primary duty is to screen and match IT job □

candidates for open roles with TEK’s [customers] and to submit candidates who match with the open roles to TEK’s AMs.” (/d. at 11). TEK counters that it reasonably expects Recruiters to do more than “rote screening and matching.” (ECF No. 155, p. 11). Instead, it expects Recruiters to: e Recruit top IT talent and match their career goals with our clients’ hiring needs|;] e Develop recruiting strategies to identify qualified candidates by using specialized networking tools[;] e Evaluate the strengths and weaknesses of candidates through our screening process];

e Negotiate unique compensation packages (wages, benefits, etc.) to attract and close candidates[;] e Communicate details of new assignments and manage contract employees while on assignment|; | e Partner with TEKsystems sales team to identify top accounts and target skill sets[; and] e Maintain relationships with Technical Professionals to gain industry knowledge and obtain referrals[.| (ECF No. 143-68, p. 4). TEK uses the same job description for all Recruiters. (d.). It is undisputed that AMs decide whether to approve Recruiters’ chosen candidates and that AMs focus primarily on working with TEK’s customers to define their hiring needs (as opposed to focusing on candidates and consultants as Recruiters do). (ECF No. 155, p. 15); (ECF No. 142, p. 12). The parties dispute whether Recruiters are more akin to personnel clerks, merely screening candidates to determine whether they meet the minimum qualifications and fitness for employment with TEK’s customers, as Plaintiffs contend, (ECF No. 142, p. 41), or whether Recruiters’ work is more involved and requires independent judgment and initiative, as TEK contends (ECF No. 155, p. 13). The parties also dispute whether Recruiters are entry-level employees. According to Plaintiffs, Recruiters are entry-level employees. (ECF No. 142, p. 9). Plaintiffs assert that Recruiters are generally hired early in their career and have an annual attrition rate of approximately 38 to 47%. (/d.). The average tenure of named Plaintiffs and Plaintiffs who have opted-in to the FLSA collective action, according to Plaintiffs, is 1.28 years as a Recruiter. (/d.). TEK does not require Recruiters to have any previous information technology (“IT”) knowledge or experience. (/d. at 9-10). TEK argues that the Recruiter position is not an entry-level role because it does not hire employees into the Recruiter role directly, employees are hired as Recruiter Trainees. (ECF No. 155, p. 10). TEK argues that many people are never promoted to Recruiter.

(id.).

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THOMAS v. TEKSYSTEMS, INC., (W.D. Pa. 2025).

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