
Scale AI Hit By Its Second Employee Wage Lawsuit In Less Than A Month
In the latest blow to the company’s reputation, Scale AI has been slapped with another employee wage lawsuit, just under a month after it was initially accused of misclassifying workers.
According to reports, former Scale AI worker Amber Rogowicz has filed a lawsuit against the company alleging that she and other employees were incorrectly classified as contractors rather than employees. The suit claims that the pay rate effectively works out to $15 an hour, which is below California’s minimum wage at the time of her employment.
Rogowicz worked for Scale AI’s subsidiary Outlier from March to June 2024, according to the lawsuit. She was reportedly only compensated for five hours of work daily, despite working a full ten hours, as she claims that the company doesn’t compensate employees for tasks such as reviewing instructions and training, which is part of their daily responsibilities.
Furthermore, the lawsuit alleges widespread violations of state laws regarding employee overtime pay, business expenses, time-off for meals, and sick days. This is the second time in less than a month that Scale AI has been sued over these concerns.
The latest suit comes after a previous legal action was filed on December 12, 2024, which also accused Scale AI of engaging in widespread wage theft and worker misclassification.
It’s worth noting that this lawsuit is being brought under California’s Private Attorneys General Act (PAGA), which empowers workers to bring lawsuits against companies that have committed wage violations.
Source: techcrunch.com