National Lutheran Inc. $289,530.29 Overtime Pay Settlement

Individuals who worked as nonexempt employees for National Lutheran Inc. or any of its affiliates in Virginia, Maryland or Pennsylvania between Oct. 11, 2021, and Dec. 6, 2024, may be eligible to claim a cash payment ranging from approximately $1.53 to $6,283.65 from a class action settlement.

National Lutheran Inc. agreed to pay $289,530.29 to settle a class action lawsuit alleging it failed to properly calculate overtime pay. Specifically, the lawsuit claimed overtime rates did not include shift differentials, nondiscretionary bonuses and similar incentive pay, resulting in National Lutheran paying employees less than required by law.

Who are the class members?

Class members are current and former non-exempt employees of National Lutheran Inc. or its affiliates who:

• Worked in Virginia, Maryland or Pennsylvania
• Worked for the company between Oct. 11, 2021, and Dec. 6, 2024
• Worked overtime during that period
• Have at least $1 in alleged unpaid overtime wage damages as calculated by the parties

The class is divided into three wage classes based on work location:

• Virginia wage class: Nonexempt employees who worked in Virginia during the covered period with at least $1 in alleged unpaid overtime damages
• Maryland wage class: Nonexempt employees who worked in Maryland during the covered period with at least $1 in alleged unpaid overtime damages
• Pennsylvania wage class: Nonexempt employees who worked in Pennsylvania during the covered period with at least $1 in alleged unpaid overtime damages

The settlement administrator will determine each class member’s eligibility and payment amount using payroll and time records.

How much can class members get?

The total amount available to class members is $170,000.04. The settlement administrator will distribute this amount among eligible individuals on a pro rata basis based on their proportion of the total calculated damages.

• The administrator will split each class member’s payment equally between alleged overtime backpay (reported on a W-2) and alleged liquidated damages (reported on a 1099).
• The lowest individual award is $1.53 and the highest is $6,283.65.

How to claim a National Lutheran payout

All class members must sign and return the consent and release of FLSA claims form. They can do this electronically via the online claim form or by mail using the prepaid return envelope provided in their notice. The PDF claim form is also available for download.

Settlement administrator's mailing address: ILYM Group Inc. P.O. Box 2031 Tustin, CA 92781

Required information

To file an online claim form, class members must provide the ILYM ID located on the bottom righthand corner of the mailed notice they received and their last name.

Payout options

The settlement administrator will mail checks to the address on file.

$289,530.29 settlement fund breakdown

The $289,530.29 settlement fund covers:

• Settlement administration costs: $14,530.25
• Attorneys’ fees and costs: $104,000
• Service award to lead plaintiff: $1,000
• Payments to eligible class members: $170,000.04

National Lutheran Inc. will also pay all required employer-side taxes in addition to the gross settlement amount.

Important dates

• Deadline to file a claim: Feb. 5, 2026
• Deadline to opt out: Feb. 5, 2026

When is the Chittum v. National Lutheran Inc. payout date?

The settlement administrator will mail settlement checks to eligible class members within seven days of the court’s entry of a final order approving the settlement.

Why did this class action settlement happen?

This lawsuit alleged that National Lutheran Inc. failed to properly calculate overtime pay by not including shift differentials, nondiscretionary bonuses and similar incentive pay in overtime rates.

The company denies any wrongdoing but agreed to settle to avoid the cost and uncertainty of further litigation.

Sources

1. Class notice
2. Claim form
3. Settlement agreement