Employees of Westinghouse Air Brake Corporation (Wabtec) and Knorr-Bremse AG Sue For Wages and Damages

By on July 20, 2018

On April 3, 2018, the Department of Justice announced a settlement with Knorr-Bremse AG and Westinghouse Air Brake Corporation (Wabtec) in a case accusing the railroad equipment suppliers of unlawful anti-poaching agreements.

Anti-poaching agreements can be illegal and drive down the wages of covered employees by limiting competition for employees in an industry. The settlement terminated the agreements and forced the companies to adopt compliance measures.

The DOJ settlement leaves it to private lawsuits to recover damages for employees and, indeed, such lawsuits have been filed.

Several class actions were filed on behalf of employees of Wabtec and/or Knorr, alleging violations of the federal securities laws and seeking treble damages (three times actual damages).

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