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A class action lawsuit was filed against Snelling Staffing Services alleging unfair business practices and other claims. The representative plaintiff in the suit is Nick Zanze, who was previously employed as a recruiter at Snelling, according to court filings.
The suit, filed in March, claims Snelling deprived former internal personnel of money earned because of rules for payment of commissions.
The suit cites the company's employment contract that states workers must be employed with Snelling on the last day of the month for which the monthly commission is to be paid in order to receive the commission. For direct hire placements, commissions aren't paid to internal workers if a client pays after the staffing firm internal worker has left the employment of Snelling, according to the lawsuit.
It also claims Snelling wrongfully has noncompete clauses in its employment contract in states where such clauses aren't allowed, including California, Colorado, Montana and Hawaii.
Attorneys for Snelling have filed a motion to dismiss the case which is scheduled to be heard in court on July 6.