Michigan Cosmetology School Settles Unpaid Labor Dispute for $2.8M
Approximately 1,500 former students to receive compensation in settlement, with the school admitting no liability.
- A Michigan cosmetology school, Douglas J Aveda Institute, has agreed to a $2.8 million settlement in a dispute over unpaid labor performed by students.
- The class-action lawsuit, filed by the Sugar Law Center for Economic and Social Justice, alleged violations of federal labor law, claiming the work performed by students was not directly related to their cosmetology education.
- Approximately 1,500 former students will receive compensation, with the amount depending on the number of hours worked.
- Nearly 30% of the settlement, amounting to $794,000, will go to the lawyers representing the students.
- The school, which has locations in Ann Arbor, East Lansing, Grand Rapids, and Royal Oak, admitted no liability in the case.